Interested in becoming a MotoNovo dealer? Get in touch today.

Become a dealer partner

Home

Why MotoNovo

Complaints data

Terms of service

Privacy Policy

Item 5.1 Modern Slavery Statement Nov 2023 (Group) Board.pdf

Slavery & Human Trafficking Statement

2a86004f8506287891a8b404d874376a.pdf

Gender Pay Gap Report

The Finance & Leasing Association (FLA) Lending Code

Cookie Policy

About us

Our products

Consumer Duty

Discount Shopping

Tariff of charges

Customer site

Careers

Products & links

Fraud against businesses is on the rise. Unlike the protection afforded to consumers, small businesses and limited companies need to meet certain eligibility criteria to claim compensation with the Financial Services Compensation Scheme (FSCS), with eligibility on a case-by-case basis that varies for different types of claims.

Due diligence, internet controls and risk management are crucial to avoid being scammed, and it all starts by appreciating that fraud can come from anywhere, including:

Third parties, unconnected to the business

If it sounds too good to be true, it probably is. Thoroughly question all unusual deals, opportunities, documents, and transactions, and encourage all your staff to embrace the same ethos. If you are in doubt, check it out first.

Ensure internal controls, policies, and procedures are in place and adhered to for anything that involves a financial transaction, such as the sale and purchase of all vehicles and stock and the transfer of any legal documentation, for example, V5s. This includes procedures for authorising, recording, and reconciling financial transactions and safeguarding the business’ assets.

This should be a core part of recruiting a new team member. UK employment background checks usually consist of some or all of the following, most of which are regulated by law: criminal record checks, right to work checks, DVLA checks (for employees driving on company time, and health checks (used exclusively for cases where it is a legal requirement. For example, eye tests for commercial vehicle drivers). It is also possible to verify education and employment background and social media screening (used by some employers to gain insight into a candidate’s values and attitude).

Conduct due diligence using a risk-based approach, such as checking the customer or supplier details you have on file and by using online searches. Never pay an invoice from someone you have not verified.

Watch your bank account every day to understand how money leaves your business, or enable your banking apps to notify you of money going in and out of your accounts, including:

Who has the authority to make those payments (have at least two people handling any payments, if possible)?

Fraudulent invoices for goods and services are widespread; it might look real, but is it?  Fraudulent invoices, often for well-known publications and scams related to advertising in charitable publications, are sadly all too common. If it doesn’t look or sound right, don’t pay; check it instead. Also, if a supplier changes their bank details, always verify this change is correct.

Care must be taken to ensure that you have good title to all stock and that the check is verified (if it sounds too good to be true, be suspicious). Similarly, you must know your legal responsibilities to customers in areas such as distance selling. A dealer won a recent case, with the judgement referring to the customer as ‘at best misleading and at worst untruthful’.

Ensure you have a cyber security policy, you can see our other post on this subject here.

9. Embrace UK Finance’s ‘Take five to stop fraud'

Take Five is an initiative led by UK Finance. It aims to encourage people to stop and take time to think before they act. Always remember these five rules:

Never disclose security details, such as your PIN or full banking password.

Don’t assume an email, text, or phone call is authentic.

Don’t be rushed – a genuine organisation won’t mind waiting.

Listen to your instincts – you know if something doesn’t feel right.

Stay in control – don’t panic and make a decision you’ll regret.

Action Fraud is the UK’s national fraud and cybercrime reporting centre. You can also get information about fraud and financially motivated internet crime.

You can also report fraud to the police if you know the suspect or they’re still in the area. Call 101 to speak to an operator.

Fraud is on the rise, so explore our top ten tips for avoiding it. 

Business fraud and how to avoid it: 10 top tips

We often hear from our dealer and broker partners that they want to set up their own diversity and inclusion (D&I) network, but they don’t know where to start, or that it seems like a complicated process.

At MotoNovo, we have learned from GROW (Generating Real Opportunities for Women), our internal Women’s Network, and from a number of other D&I initiatives that there are a number of things to consider when setting up an internal network. To help dealers on their D&I journeys, we’ve put together a whistle-stop tour of how they can get started.

Before we outline our learnings, we need to stress that there is no ‘right’ way to promote diversity and inclusion in a business and that the two most crucial factors are:

Leadership support and engagement in the programme.

A passion for creating a positive impact and a willingness to give it a go.

It's also important to stress that any impact an in-house network can make, no matter how small, is an achievement – every inch of progress is a success, and over time, these all add up.

Knowing where to get started can be tricky, but here’s the five-step process that helps us:

First of all, agree on the network's vision. What do you want to achieve, who is it intended to support, and how do you imagine it looking when it’s successfully underway?

For example, the Automotive 30 organisation, which aims to achieve a better gender balance within the automotive industry, has a vision to fill at least 30% of key leadership positions in the member organisations with women by 2030 through a “30 by 30” strategy.

Once you have the vision for your network, set three to four ambitious, SMART (Specific, Measurable, Achievable, Relevant, Time-bound) objectives for your network actions alongside them to show how they will be met in practice.

These could include a greater diversity mix in your business or its leadership, the development of the business’ recruitment, training and career processes and policies, or ongoing involvement with other local networks, such as the Chamber of Commerce or FSB, to help gain fresh insights, for example.

Involve a variety of people passionate about improving diversity and inclusion. After all, this is usually done alongside a day-to-day job, so you need people with motivation. These should include people inside your business but could include external people whose skills can add to the group or as guest speakers/contributors.

A transparent decision-making process is critical. Hopefully, ideas, inspiration and discussion will flourish, but it is essential that these lead to action and outcomes. Experience says this is about establishing controls with roles, responsibilities and accountability.

You could nominate a chairperson who has the final say after hearing from the various group members, or you could put things to a vote. However you do it, ensure it’s clear and communicated to the network members from the outset.

Earlier, we highlighted the importance of business leadership support and engagement in the programme. However, this does not mean that the network should be ‘top-down’ led, far from it. From our experience, being colleague-led while having a business leader as a sponsor is a valuable combination with the business leader supporting the chairperson, removing blockers, and managing budget requests.

If creating an in-house D&I network is not feasible, join GROW and be part of a network designed to support D&I across the automotive retailing sector; the team can be contacted at GROW@motonovofinance.com.

Continuing to drive positive change across the industry, take a look at how you can set up your own D&I Network.

Creating a D&I Network: tips from our GROW Network

Women account for around half of all car drivers and buyers, yet the number of females in motor retailing remains very low, especially in senior roles. Not only are dealers missing out on a vast talent pool of women, but they also risk overlooking the impact that a different viewpoint could make on their business approach and how they meet the buying needs of women, which can be subtly different from men's.

Given that many dealers refer to themselves as ‘family’ businesses, arguably, increasing the involvement and leadership of women could potentially better reflect a family ethos.

These are some of the reasons behind MotoNovo’s GROW (Generating Real Opportunities for Women) network, which is far from being a women-only network. Men are very welcome and tell us how much they have gained from participating in the online and in-person events.

While recruiting, developing and promoting more women is GROW’s primary goal, we know that people joining the events have benefitted from understanding how a more gender inclusive approach can help their business.

For example, ensuring public-facing content (website, social media, advertising) includes images of women, both customers and staff, can help in marketing. In recruitment, reaching outside the automotive industry for candidates in other sectors like hospitality and retail while hosting events specifically for women, such as service events, explaining a car’s maintenance needs can help break down gender barriers and address macho perceptions to create customers and aid recruitment.

MotoNovo is far from alone in promoting greater gender diversity in car retailing. The latest Car Dealer Podcast (Number 170) discusses the lack of female representation within the UK car industry. It highlights the reality that the industry is not attracting enough female talent or enabling women to progress to more senior positions.

The podcast features a discussion between Car Dealer’s Associate Editor James Bachelor and Julia Muir, founder of the Automotive 30% Club, a network of automotive CEOs and MDs, including MotoNovo’s MD Richard Jones, who is working to close the gender gap.

In the podcast, Julia highlights the fact that a lack of female representation remains a weakness within the motor trade. For this reason, the Automotive 30% Club set itself a goal to increase female representation in the sector, with a target of seeing at least 30% of leadership positions filled by women by 2030.

We want to encourage even more dealers to join GROW, so if you are keen to give it a try, contact the team at GROW@motonovofinance.com. To date, dealers have unanimously found it to be a positive step.

Exploring the gender balance within the automotive industry, check out how you can support the representation and career growth of women across the industry. 

Increasing the gender balance in car retailing matters

From 1 September 2024, the number ‘74’ will start appearing on all new vehicles hitting our roads. As is always the case, this is the second of the two new car sales peaks in the year, and it will be a crucial period for car dealers and manufacturers, but perhaps this year, it will have an additional dimension. 

The added dimension is the Zero Emission Vehicle (ZEV) mandate, which requires manufacturers to ensure that 22% of their new cars sold this year are zero emission. It's proving to be a challenging target. 

At the end of July, the Society of Motor Manufacturers and Traders (SMMT) shared the following year to date summary of new car sales activity: 

The UK's new car market rose 2.5% in July, achieving 24 consecutive months of growth. 

Battery Electric Vehicle (BEV) sales outpaced the overall July market, rising to 18.8%, but only 16.8% of the new car market in the year to the end of July, well behind the mandated 22% transition target. 

At the time, the SMMT forecasted that 2024 would see 1.968m new car registrations by the end of the year, but BEV sales would only achieve 18.5% of the new car market. This was down from a previous forecast of 19.8%. 

The outlook for BEV sales suggests that they are likely to be on an upward trajectory, but they need to be faster to achieve the 22% target. The falling private buyer share of the BEV market, despite the generous incentives from several manufacturers, will be especially concerning. 

While manufacturers can receive some exemptions for selling other types of cars and can also borrow credits from other manufacturers if they are struggling to hit their respective ZEV targets, their options to avoid fines appear to be to;  

Offer further customer incentives, which are likely to be seen in the coming months. 

Lobby the government to offer some flexibility. 

A combination seems likely, with the government lobbying approach, which is being seen across Europe, being a potentially powerful tool. For example, Stellantis claimed in June that it could close British factories if the UK government did not loosen sales regulations. 

What is clear is that the BEV trajectory will continue upwards, but perhaps, at least in the short term, at a slightly slower rate. September’s new car registrations could be telling. 

With the September plate change around the corner, take a look at the impact this year's change could have, 

The '74' new car plate beckons

While women account for 47% of the general UK workforce, the figure is only 20% in the transport sector. At the Society of Motor Manufacturer and Trader’s 106th Annual Dinner in December, the Automotive Council committed that women will represent 30% of its members’ workforce within the next six years – a significant step, given that those members employ some 99% of the UK’s vehicle manufacturing workforce.

Twenty seven companies, including Stellantis, Renault Group, Scania, Ford, and carmakers such as BMW and Kia, committed to the ‘30 by 30’ commitment. The Automotive 30%  Club, where MotoNovo MD Richard Jones is a Silver Member, shares a similar ambition alongside other prominent business leaders from across the motor retail and support industry sector.

Women represent a huge proportion of the car-buying population. With over 19 million women holding a driving licence, they make up 48% of all motorists in the UK, a number that is growing faster than men.

In 2022, Auto Trader noted that women owned 41% of all privately owned vehicles, an increase of 17% in the preceding 10 years, compared to just a 9% increase in men over the same period. Their report also noted that women’s perceptions of dealerships led them to embrace online retailing, with 44% of female consumers stating that they would consider buying a car online.

Research undertaken by Carwow last year identified a similar negative car-buying observation. Despite being equally interested in cars and car buying, almost 6 in 10 female drivers felt the car-buying and selling process was still geared towards men.

It appears that a significant opportunity exists to meet the current car buying needs of the public appropriately.

Realising this opportunity invariably means changing the existing model, its processes, and communication. Given the scale of the opportunity, such change might include a cultural shift, but above all, it requires fresh thinking.

In 2018, the renowned Boston Consulting Group published a study assessing diversity from a workplace perspective to establish how it could help businesses achieve their goals. The study of 1700 companies across eight different countries, with varying industries and company sizes, established that "increasing the diversity of leadership teams leads to more and better innovation and improved financial performance." It had a direct effect on the bottom line. Companies that had a more diverse management team delivered 19% higher revenue due to innovation.

If the current car retailing model is not meeting the needs of female car buyers, then increasing diversity, especially at a leadership level, has the potential create change. Fresh thinking will allow the ability to assess the long-established model differently and see the gaps and opportunities that are being missed or underserved.

Given the scale of the female car buying car market, the rationale for change is clear, but diversity isn’t just about gender. It also includes age, ethnicity, sexual orientation, socioeconomic background, work and educational experience. Greater diversity of thought and challenge to the current car sales model can help businesses meet the needs of all these groups as well.

Take a look as we explore the impact of gender diversity on the automotive industry. 

The bottom-line potential of greater gender diversity in car sales

Maintaining the physical security of a dealer’s premises and stock is an ongoing challenge, not least because appropriate risk mitigation processes may not be in place, or, more often, those well-intentioned actions might not always occur. 

This post highlights five actions that could help every dealer, regardless of size. Above all, we hope it prompts every dealer to review their business’ security. 

Catalytic Converter Thefts — there have been many articles about the frustrating impacts of such thefts. According to a BBC article on 24 June: “Catalytic converter thefts have been reduced to zero over the past seven months after handing out marking kits, a police force says”.  According to West Mercia Police, which distributed the kits and shared advice last November at a talk in Hereford attended by 200 people, catalytic converters could be marked with traceable liquid, and fitted locks were available. An online search suggests kits can be purchased for under £17. As well as security, it could be a nice added-value sales feature. 

Keys — this is obvious, but keeping keys out of sight and secure does not always happen in a sales or aftersales environment. A key safe and appropriate ‘use it every time’ procedure is crucial. Now add measures to avoid ‘keyless car theft’, which can take just 20-30 seconds. For these, any key cards/fobs must be kept safe inside a signal-blocking pouch of a Faraday Bag, which blocks a car key fob from transmitting its code to the vehicle. 

Building Security — locks. It might sound obvious, but installing suitable locks for your business premises is key. Insurance companies will often require certain lock types, such as a five-lever mortice deadlock that conforms to BS 3621. All doors must be locked every time a building is left unoccupied, and only doors that need to be opened must be left unlocked. Steel strips fitted to the door frame and around the lock can strengthen doors. The same closed-and-locked strategy also applies to windows whenever your business premises are empty. Security bars might be a valuable consideration for hidden or vulnerable window locations. Finally, in this section, an appropriate alarm system should be fitted; depending on potential risk, a monitored system may be suitable. Do check that your alarm system complies with your insurer’s terms. 

Perimeter Security - external walls or fences may be adequate, but additional steps such as security lighting, motion-detection lights or a high-quality CCTV system may be appropriate, recognising that while you can use CCTV to protect your property, you must follow data protection law. For more information on this, you can read the guidance on gov.uk. At a basic level, for out-of-sight areas or roof access, simple barbed wire can dissuade an opportunistic criminal. 

Staff — your staff are both a great asset and, while it may not be deliberate, a prominent risk to your business. Formal security processes and training are a must covering the physical security of the premises, vehicles (those for sale and those being serviced), stock, money handling (to include money laundering), vehicle demonstrations, sales release (to avoid fraud), security of phones and computers, and a lone working policy for any staff who may be on the premises alone. This is not an exhaustive list, but we hope it helps identify some areas to consider. 

For more on security at your dealership, read part one of our blog series looking at data security. 

In part two of our series, we're looking at the day-to-day security challenges for dealerships, with five steps to take. 

Security in your dealership: the importance of day to day security

July 31st is approaching rapidly, and with it comes the critical need to ensure timely compliance with the first Consumer Duty Annual Board reporting deadline.

The FCA has repeatedly reminded firms that complying with Consumer Duty and the Annual Board Report is "not a tick box" or "once and done" exercise. Firms must be able to provide evidence in their annual report that they’re continuously learning and improving outcomes for customers.

All in-scope firms (including FCA-regulated dealers) must demonstrate, through an Annual Board Report, why or how they think they comply with Principle 12 (deliver good outcomes for retail customers) and PRIN 2A of the FCA Handbook. The report will be used by the FCA to assess and evidence how firms have provided good outcomes for consumers under the Duty. The FCA has advised that it may ask firms for a copy of its Board report.

To comply with the requirements, each firm must provide a report to its governing body (typically its board of directors) setting out the results it has collated over the year in monitoring the outcomes retail customers are experiencing from its products and services.

The FCA’s four outcomes and the associated supporting evidence should be reflected in the report:

Whether customers are being sold products that meet their needs

Whether the products being purchased provide fair value

Whether customers are being equipped with the correct information to make informed decisions

Whether customers are receiving the support they need

The report should explain any risks arising that would prevent the firm from complying with the Duty and whether any remedial actions are required. The report should include a focus on vulnerable customers.

The firm’s appointed Board Consumer Duty Champion must then:

Review and approve the firm's report on the outcomes being received by retail customers.

Confirm whether it is satisfied that the firm is complying with its obligations under Principle 12 and PRIN 2A; and

Assess whether the firm's future business strategy is consistent with its obligations under Principle 12 and PRIN 2A.

The FCA has not provided a template board report, so it’s up to firms to prepare a report proportionate to the risk they pose to customers and the market, but a one-pager is unlikely to be sufficient! However, the FCA has given a steer on what it will expect to see in the report namely: an Executive summary; overview of any outcome testing that has taken place, a focus on vulnerable customers and future strategy.

Our best guidance is to work with your compliance support to ensure you are on track and to put its importance in focus.

With the July 31st Consumer Duty Annual Board reporting deadline around the corner, all FCA regulated dealers need to ensure they're prepared and ready.

All FCA regulated dealers must prepare for their Consumer Duty Annual Board Report

The supply of used battery electric vehicles (BEVs) continues to rise as new sales increase and prices become more affordable. While the purchase price of BEVs remains an issue for some car buyers, the reality is that price parity with petrol/diesel equivalents continues to emerge. It is a situation that is only likely to gain further momentum as new petrol and especially diesel sales fall. 

Many people are interested in switching to a BEV, which is a positive step; if that step can be more affordable than staying with a petrol/diesel car, then many more people will surely make the move. It may well be that cost moves from a barrier to buying a used BEV, to the primary reason. For dealers, spotting this coming tipping point will be important.  

However, price is not the only barrier to buying a BEV for some people. In this post, we look at how dealers can address the other critical potential obstacles customers may have when purchasing a BEV. 

Range and charging are significant issues for many customers, and much of this centres on perception rather than reality. 

The average commuting distance in the UK is a little under 20 miles, and just 14% of commuters travel over 42 miles a day. Not only will pretty much any BEV meet the needs of the 99% of people whose car journeys are under 100 miles, but anyone with a home charger will also find the cost of their travel reduced compared to a comparable ICE (internal combustion engine) car, and they will not need to spend time locating or using a petrol station. 

It currently costs around £20.29 to drive 150 miles at 50MPG in a petrol-powered Ford Fiesta, and it costs £8.94 to drive the same distance in a Nissan Leaf that has been charged up at home at 22.39p per unit; this current and compelling picture was painted on June 18th this year by clean energy specialists Good Energy.  

US telematics provider Geotab analysed data from over 6,300 fleet and private BEVs of different makes and models and found that the typical BEV battery degrades by 2.3% annually. 

Translated into real-world terms, an EV with a working range of 240km (150 miles) would lose just 27km (17 miles) of range over five years. 

The final doubts about the viability of BEVs for most motorists sometimes lie with dealers. The only observation we can add is that in a few short years, as the new car market becomes dominated by BEVS, the used market will follow, and appreciating reality vs perception may help generate more sales. 

Take a look as we explore BEV cars and how customers feel about becoming more sustainable.

Sustainability: helping customers in their BEV buying

Part 1: simple cyber security for every dealer

Protecting your dealership from fraud, money laundering, identity theft, and cyber crime are some security issues that should be on the radar for all dealerships, regardless of their size, and that’s not even touching on the physical security of your stock and premises. 

In a series of high-level posts, this dealer security series aims to provide best practice guidance and introduce you to ways in which MotoNovo is working to help you. 

In June, a cyber attack on CDK Global affected around 15,000 dealerships across North America. With their DMS system and other platforms, including their F&I system, all down, dealers had to revert to pen and paper to keep their business going for over a fortnight. On 22 June, according to the journal Fortune, the company planned to pay the hackers a ransom, believed to amount to tens of millions of dollars. 

The personal information of millions of customers is likely to have been at the heart of the hack. This led CDK to issue an urgent warning, cautioning people about ‘bad actors’ posing as employees during phone calls to obtain credit card details and access to their accounts. 

Dealers must not be too busy to ignore cyber security 

We recognise that the time needed to consider and address security threats could also be buying and selling time. However, it is essential to recognise that a security outage could halt your business and risk its reputation. If you don’t have the in-house expertise, it is encouraged that you to find a suitable expert to help. 

The government’s National Cyber Security Centre (NCSC) is a helpful resource. Below are some useful tips, courtesy of the Open Government Licence.   

While not extensive, these are seven practical steps even the smallest dealer should take as a minimum to secure their business: 

A one-page checklist – as a starting point, download the government’s NCSC’s Cyber Security Action Guide for Small Businesses, accessible here. This will be very useful if you are looking for a simple one-page checklist of action points. 

Data security and back-up – create a rigorous daily process for securing (encrypting, password-protecting) all your critical data, such as customer details, quotes, orders, and payment details. Keep the backup separate from a computer on a secured hard drive or in the cloud. 

Hardware security – ensure computers, tablets, and smartphones are kept physically and digitally secure and password protected and use current security updates for all software and apps.   

Passwords – ensure every online account related to your business has a unique, strong password, with 2-step verification for critical folders/files. Using a business-grade password manager can help maintain strong passwords that are not repeated across devices. Never write passwords down. 

Training – regular cyber security training for employees can reduce the risk of phishing and other social engineering attacks. Employees should be taught to recognise suspicious emails and verify identities before sharing sensitive information; here is a free resource that can help. 

Cyber security Insurance – designed to protect your business from threats like data breaches or malicious cyber hacks on business computer systems. The right cyber security insurance can provide crucial support to help your business stay afloat. 

For more on security at your dealership, read part two of our blog series looking at data security. 

In part one of our series, we're looking at the ways that you can protect your dealership from cybersecurity challenges. 

Security in your dealership: protecting your business and customers

In launching the Consumer Duty on July 31st 2023, for open products and services, the Financial Conduct Authority (FCA) set out to raise the bar for financial services with what it declared were ‘higher and clearer standards of consumer protection.’ At its heart was the new Consumer Principle, which required firms “to act to deliver good outcomes for retail customers”.  These are a few simple words to say/write, but in action, they are a far more complicated proposition to deliver and evidence without significant process and cultural change for many in the financial services sector.

Ahead of the Consumer Duty launch, MotoNovo completed a significant volume of work to prepare itself and to help its distributor (dealer/broker) network to ensure they understood and were ready for the launch.

A dedicated series of Consumer Duty videos designed for distributors provided an overview of the new regulation's requirements, shared best practices and outlined the crucially important identification and care rules for potentially vulnerable customers.

Closer to launch, our highly trained business development team delivered a very well-received Dealer Readiness Assessment tool, which helped dealers crystalise areas that they needed to focus on to prepare for the initial launch.

I say ‘initial launch’ because it was always clear that for all of us in motor finance, July 31st, 2023, was the start of the Consumer Duty process, not the end. The regulator was clear that it expected compliance with it to be something that would evolve or to quote the FCA’s Nisha Arora in a speech on November 1st, the Consumer Duty was “not once and done.”

While the regulator has recognised that many financial services firms have made great progress on the Duty, in a speech in February, the FCA’s Sheldon Mills noted, “there is still much room for improvement.” Areas of improvement identified by the regulator have included evidencing fair value and good customer outcomes and supporting vulnerable consumers.

Undoubtedly, we can all expect further changes in how we operate to fulfil the Consumer Duty requirements across motor finance. As a lender, we must keep improving our products from a price and value perspective. For our dealers and brokers, the need to stay focused on measured customer outcomes cannot be underestimated. Customer reviews alone will not be enough. Broader data insights will be needed to include areas such as product performance data, complaints, customer feedback, and reviews.

At MotoNovo, we remain committed to our partnership principle. We will continue to work side by side with our partners to ensure they understand the evolving regulatory position and share insights and tools to help.

A year on from the launch of the Consumer Duty – FCA webinar

In the spirit of us all being in this together, if F&I is important to your business, I’d encourage the dealer and broker community to join an FCA webinar on July 31st 2024. The live event will enable us to hear first-hand the regulator’s insights and those of the Financial Ombudsman on the Consumer Duty. It will also be possible to raise any questions. The webinar will focus on: 

The impact the Duty has had in its first year 

Examples of good practices and areas for improvement 

The FCA’s priorities for the year ahead 

Nearly one year on, Distributor Director, Debbie McKay, is looking back on the journey to Consumer Duty.

Consumer Duty: one year on

20% of consumers will consider buying a battery electric vehicle (BEV) when they next change car, while only 3% own one today.

This encouraging insight gained by research undertaken for MotoNovo Finance needs to be seen in the context of interest in hybrid cars, where nearly half of consumers will consider buying one.

Digging deeper into peoples’ future car buying plans, the perceived price of BEVs is an issue, especially for lower household income groups, with 42% of people citing price as a purchase barrier. However, even if there was price parity between ICE and BEVs, just 13% of people expect to go electric when they next change cars.

Rather than price, the dominant factor dissuading greater customer interest in BEVs centres upon charging. Factors including the public charging infrastructure, range/range anxiety, inability to fit a home charger, the cost of electricity, and, in some cases, a straightforward desire not to charge a car at home all scored prominently as reasons to favour a shift towards hybrid car options. 

It is, as MotoNovo’s Distribution Director Debbie McKay observes, a reason for a greater focus on charging and range to improve customer understanding of how electric cars can meet the motoring needs of many people; as she notes,

“The average commuting distance in the UK is a little under twenty miles, and just 14% of commuters travel over 42 miles a day.  In fact, according to UK government data, 99% of car journeys are less than 100 miles. The range of pretty much every BEV will cover these distances with ease, with the average BEV range in the UK identified as 211 miles, according to energy company Octopus.”

Data apart, there can be little question that with almost a quarter of people believing that the range available to BEV drivers isn't good enough between charges, while one in five don't want to have to think about charging their vehicle, addressing these  perceptions is a critical step that needs to be prioritised as Debbie concludes,

“Not only will pretty much any BEV meet the needs of the 99% of people whose car journeys are under 100 miles, but for anyone with a home charger, the cost of their travel will be reduced when compared to a comparable ICE car, and they will not need to spend time locating or using a petrol station.

All industry stakeholders need to communicate this message far more proactively. At the same time, for authenticity and transparency, it would be better to share real-world range information so that people understand the impact of winter weather/daylight and the use of air conditioning on the range."

Press release issued by MotoNovo Finance, June 2024

Our latest research shows 20% of consumers will consider buying a BEV, but only 3% own one today. Find out more from Distribution Director, Debbie McKay.

Battery Electric Vehicles: charging not price is the crucial change barrier

Last year, we celebrated our network of dealer and broker partners with the Extra Mile Awards, crowning winners across seven categories. With the 2024 Extra Mile Awards just days away, we’re taking a look back at the class of 2023…

Customer Journey Award winner
Focus Motor Store

Developing a polished car journey, Focus Motor Store took home the Customer Journey Award for always putting customers at the heart of everything they do. From allowing customers to tailor their finance agreement through Quote & Propose finance calculators to putting customers in the driving seat and giving them the option to reserve their favourite vehicles, every decision is made with the customer at the forefront of the journey. 

Community Impact Award winner
CarFinance 247

Committed to making a difference in their community, CarFinance247 was crowned Community Impact Award winner for their work with young people’s charity, Manchester Youth Zone. Alongside an annual financial donation, CarFinance 247 sponsored family food parcels, donated TVs and laptops, funded a sensory room, purchased a minibus… and that’s just a snapshot!

Embracing our products, launches and initiatives, MotoGB was recognised as our Partnership Award winner for utilising our digital tools throughout lockdown. With the likes of Self-Serve, MotoGB continued to offer customers the ease and convenience of an online finance application journey. 

Starting work at his parent’s dealership at just 19 years old and with little industry knowledge, Ian Gauld of Dunecht Garage now runs the day to day operations and has grown the business to record volumes. Introducing an improved compliant customer journey, implementing new initiatives to boost the dealership’s profile and navigating through challenging times, Ian has been recognised as an incredible leader, taking the business to new levels.

Diversity & Inclusion Award winner
Perrys Motor Sales

 Creating an inclusive workplace, Darren Ardon, Perrys Managing Director, has been a member of the Automotive 30% Club since 2019 and is a massive advocate for promoting the career progression of women in the automotive industry. Launching its own female ambassador project in 2022, Darren is committed to improving the representation of females across the industry. 

Sustainability Award winner
Bridgend Motor Group

Passionate about supporting young people’s careers, Bridgend Motor Group invested in building a purpose-made, self-contained Training Centre at its Kilwinning HQ. This centre has been so successful and well-used that they’re planning to expand at their Ayr and Kilmarnock sites! From car sales to marketing, Bridgend Motor Group is kickstart careers.  

Broker Partner of the Year Award winner
Anglo Scottish Asset Finance

Exhibiting the fundamentals of a great partner; customer centricity, transparency and collaboration, Anglo Scottish Asset Finance took home our first ever Broker Partner of the Year Award! The business is been built on reputation, agility and supporting customers with expert guidance on electric vehicles suitable for clear air zone cities. Fundraising is also key value of the broker, with the team raising nearly £4,000 in 2023 for homeless charity, CEO Sleep Out, by spending the night sleeping outdoors. 


We pride ourselves on working with trusted dealer and broker partners, and The Extra Mile Awards celebrates this and all of their hard work. Keep your eyes peeled on our socials for the 2024 winners circle this Thursday!

With the 2024 Extra Mile Awards just days away, we're taking a look back at our 2023 winners circle!

News