Despite falling prices in the used market, the UK’s shift towards electric motoring “remains fragile”, according to recent analysis. The AA said that inconsistent messages from the Government are “undermining the longer-term health” of the transition away from petrol and diesel vehicles.

The organisation’s most recent EV Readiness Index for the three months up to the end of February showed an improved score compared to the previous quarter. This was largely due to decreasing prices for used EVs, which have “dropped below the cost of equivalent petrol cars”, as per the research.

Used EVs were discovered to be 10% cheaper than comparable internal combustion engine vehicles. The AA stated that the availability of lower-priced EVs has created new opportunities for drivers contemplating a switch to electric.

However, it voiced concern that the vehicles’ “rapid depreciation” poses a “significant challenge” for fleets and manufacturers, who depend on strong residual values to support the purchase and leasing of new models.

It also cautioned that the proposal to charge drivers of battery electric cars 3p per mile from April 2028 through electric vehicle excise duty (eVED) has created “uncertainty” for some drivers considering transitioning to an EV.

AA president Edmund King said: “Our AA UK EV Readiness Index shows that conditions for switching to electric cars are improving, with cheaper used EVs opening the door for more drivers. But the reality is that the transition remains fragile.

“Lower prices may be good news for motorists looking for a bargain but if values fall too quickly it becomes unsustainable for fleets and manufacturers who buy most new electric cars in the first place.

“At the same time, mixed messages from Government – including uncertainty around future taxes such as eVED – risk denting confidence just as the market is beginning to mature from the early adopters.”