Landscape of the UK’s EV LCV Market

If you are thinking about switching to an electric van, you have probably seen a lot of mixed messages in the media and on your LinkedIn feed. Should you buy one now or wait? Do you really need to buy one? Will you face fines if you stick with a diesel van? And most importantly, are electric vans suitable for the job?
It is no surprise that all this conflicting information can be confusing. With new rules, incentives, and technical changes popping up all the time, it is hard to find clear answers.
To make things simpler, we have put together some key information about the UK’s electric light commercial vehicle market. The aim is to provide a balanced overview to help you make informed decisions about your fleet. Whether you are ready to go electric now or just want to plan ahead, we hope this article helps clear up some of the confusion and makes your decision easier.
Landscape of the UK’s EV LCV Market
The UK’s electric vehicle (EV) landscape has undergone a significant transformation in recent years, driven by government policy, sizeable private investment and a continuously growing demand for cleaner mobility solutions. In fact, since 2020 there has been a surge in charging infrastructure and a marked increase in EV registrations within the light commercial vehicle (LCV) sector.
A Network on the Rise
The number of public charge points across the UK has more than tripled in the last 3 years;
- 2022: There were 20,694 public charge points in the UK
- 2023: Saw this increase to 53,865 by the end of the year
- 2024: Awaiting final confirmation, but it was anticipated there’d be more than 73,000 public charge points across the UK by year end
(NB: Just below 10% of these units are ultra-rapid chargers)
This swift expansion, with an emphasis on rapid and ultra-rapid chargers which reduce charging times, is crucial for long-distance travel and specifically commercial fleets. We are seeing an infrastructure trend that is making EV ownership more practical and convenient to an increasing range of users as a result.
The charging network has benefitted from a £950million investment from UK government into it, coupled with private sector initiatives from companies like IONITY and Gridserve, which have fuelled the construction of large-scale charging hubs across the country. With more than 264 such hubs in the UK now, strategically located across motorway services, retail parks and in several commercial areas, accessibility and convenience for the growing EV LCV driver community has been significantly enhanced.
Future Technologies
Beyond simply increasing the number of charging points, there are technological advancements in the wider research pipeline that can improve the EV charging experience;
- Vehicle-to-Grid (V2G) technology: This innovative technology allows EVs to feed electricity back into the grid during periods of low demand, potentially transforming EVs into mobile energy storage units. This not only enhances grid stability but also provides EV owners with the potential to earn revenue by selling excess energy back to the grid. With over 100 V2G projects running in over 24 countries today, and a developing offering in the UK, it’s been predicted wider implementation of the technology could save the UK up to £3.5 billion per year in grid infrastructure reinforcement. The ability to earn revenue, especially for larger fleets with long stand-down periods, could appeal as this technology develops and is one we’re keeping an eye on.
- Wireless Charging: While still in its early stages, wireless charging technology offers the potential for even greater convenience, eliminating the need for physical connectors and cables. The Society of Automotive Engineers (SAE) published official standards for the technology back in 2020, with manufacturers testing and prototyping as we speak. Like any new innovation, there will be consideration around cost, adoption, and implementation as this technology emerges, but certainly an interesting concept we see being used in other areas of day-to-day life already.
EV Light Commercial Vehicle Registrations Keep Growing
The shift towards electric vehicles has been demonstrated by the Society of Motor Manufacturers and Traders (SMMT) when looking back over the past few years;
- 2016: Circa 1,000 BEV LCV registrations in the UK
- 2019: This rose to around 3,000 units across the country
- 2024: Saw this figure leap to 22,155 BEV LCV registrations in the year, holding market share of 6.3%
It is also of note that manufacturers are expanding and developing their range of available EV LCV’s, with a near 20% uplift in the choice of zero-emission models compared to prior years.
We are seeing that adoption of electric vans and LCV has been driven by incentives such as the Plug-In Van Grant, improving technologies such as advancements in range and charge times of batteries, and corporate ESG commitments to both environment and social benefits.
The Impact of the ZEV Mandate
A pivotal development for EV adoption was the introduction of the Zero Emission Vehicle (ZEV) Mandate in January 2024. This legislation requires manufacturers to sell a minimum percentage of zero-emission vehicles each year, with targets gradually increasing to 100%.
- 2024: This target was 22% of new car sales and 10% of new van registrations
- 2025: The target increases to 28% of new car sales and 16% of new van registrations
The Mandate will culminate in 2030 with a cease on the sale of any new petrol or diesel cars, where 70% of new vans must be zero emission by the same point, and finalise in 2035 with no new hybrid cars being sold and 100% of vans required to be zero emission.
It is this policy which has been cited as being the accelerant for both the charging network growth, and range of models available, forcing manufacturers to focus on EV production, and ultimately providing a greater certainty for the future demand for electric vehicles. This commitment from the OEMs, in turn, drives a heavy investment in research and development, and both technological and design innovations.
Debunking EV Myths
As we utilise and gain an understanding of the capabilities of EV LCV’s, the market is able to gradually dispel common myths and misconceptions;
"EV LCVs have limited range and cannot manage demanding routes": The developing portfolio of available EV LCV models are also being accompanied by a greater range capability. The average distance an electric van can travel (pursuant to weather and battery size) is around 164 miles. Over two thirds of vans travel less than 15 miles of their base for 4 days or more a week in the UK. Combined with a continued investment in infrastructure and more efficient battery technology, range anxiety is not the decision blocker it once was.
"Charging an LCV takes too long, disrupting operations": While charging times inevitably do vary, the expanding network of rapid and ultra-rapid chargers minimizes downtime. Opportunities for ad hoc charging during breaks or at depots can significantly reduce operational disruptions too if the right private networks are established to supplement the public ones.
"EV LCVs are too expensive and offer limited payload capacity": While the initial purchase price might be higher, the total cost of ownership (TCO) is often lower due to reduced fuel and maintenance costs. Advancements in battery technology are enabling higher payload capacities, making electric vans suitable for a wider range of applications.
Through addressing these common misconceptions businesses can make informed decisions about transitioning to electric LCVs, and take advantage of reduced emissions, lower operating costs and improved sustainability as a result.
Addressing the Challenges
While considerable progress has been made, some challenges to EV adoption do remain. Ensuring equitable access to charging infrastructure for all users, particularly those in rural areas and those living in multi-unit dwellings is crucial. Similarly, addressing the specific needs of certain commercial fleets, such as longer-range or large bulky payload requirements, expanding rapid charging capabilities, and the integration of charging infrastructure into business operations will be essential for widespread EV adoption for all sectors.
Looking Ahead
The UK is well on its way toward electric vehicle adoption. Continued investment in charging infrastructure, ongoing technological advancements, and the framework provided by the ZEV Mandate will further accelerate this transition. As the EV market matures, we can expect to see further innovations in battery technology, charging solutions, and vehicle design, paving the way for a cleaner, more sustainable future of transportation, and covering longer-distance use cases appealing to those sectors not yet on the transition journey.
How Can CPD VanDemand Help?
Founded in 2009, CPD has become a significant player in the commercial vehicle conversion industry. The company delivers bespoke, high-performance vehicle solutions to sectors including logistics, construction, utilities, and emergency services. In 2024 CPD completed over 5,500 vehicle conversions, and 16% of all new vehicle registrations were zero emission, performing ahead of the ZEV Mandate requirements. With a focus on high quality production and customer satisfaction, CPD & VanDemand delivers reliable vehicles that perform even in the most demanding environments.
For more information, visit either www.cpdbodies.com or www.vandemand.com
References:
- Zap-Map: https://www.zap-map.com/live/
- New AutoMotive: https://www.newautomotive.co.uk/
- RAC ChargePoint: https://www.rac.co.uk/electric-cars
- Department for Transport: https://www.gov.uk/government/organisations/department-for-transport
- SMMT Vehicle Data: https://www.smmt.co.uk/vehicle-data/
- Government of the United Kingdom: ZEV Mandate Transitioning to zero emission cars and vans: 2035 delivery plan (Official Government Website - Please note: The specific link may need to be updated based on the most recent government website structure)
Disclaimer: The information provided in this blog post is for general knowledge and informational purposes only and does not constitute financial, investment, or other professional advice.
This blog post aims to provide a comprehensive overview of the advancements in the UK's EV charging infrastructure and the broader EV market between 2020 and 2025, highlighting the key factors driving this growth, the impact of the ZEV Mandate, and the increasing adoption of electric vehicles, particularly within the LCV sector. It also addresses common EV myths and how they have been dispelled by the rapid advancements in the industry.