Growth for EV salary sacrifice provider drives further investment

Electric vehicle (EV) salary sacrifice provider, The Electric Car Scheme, has announced the closing of a new funding round on the back of strong year-on-year growth.

Over the past year, the company says it has seen significant increases in demand for both new and used EVs via salary sacrifice, resulting in overall growth of 160%.

Its used EV offering has proven popular, recording growth of 300%, with the lower price point of used EVs through salary sacrifice making the switch to electric power much more affordable.

Used EVs now make up around half of The Electric Car Scheme’s sales.

The latest funding round is led by 13books Capital, and includes participation from Triple Point Ventures, Seedcamp, Adjuvo, Ascension and Bayern Kapital.

The Electric Car Scheme says it will use the funding to further increase awareness of the benefits of its EV salary sacrifice scheme, drive product innovation and to develop its wider net zero transition offerings.

Co-Ffounder and CEO of The Electric Car Scheme, Thom Groot (pictured), said: “This new round of investment is a huge vote of confidence not only in The Electric Car Scheme, but the company’s impact in supporting the wider transition to net zero emissions.

“We are incredibly excited to work together with our brilliant team, and forward-thinking investors to deliver on our mission to make net zero simpler and cheaper to become the obvious choice.”

He added: “The past year has been a period of fast growth for the company. The increase in used EVs in the market has proved to be a key enabler to increased employee uptake, and in turn, business interest in rolling out the scheme.

“However, we are still at the start of this major transition (as fewer than 3% of cars in the UK are EVs), and there is much work still to be done to make the switch to net zero products such as EVs more affordable and the no-brainer decision it should be for people.”

The Electric Car Scheme currently has salary sacrifice car schemes live with more than 1,000 companies.

Michael McFadgen, co-founder and Partner at 13books, said: “The team at The Electric Car Scheme has developed an innovative product that simplifies this journey, making leasing an electric vehicle the clear financial choice.

“This solution not only advantages companies and consumers, but also champions a healthier planet for all.”

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