Electric Cars Drive Leasing Firms to Double Prices Amid Resale Challenges

Low resale values for electric cars have led European leasing firms to double prices over the past three years. Key executives warn that regulatory pressure to adopt EVs too quickly could force them out of the market. The recent reduction in EV subsidies and subsequent fall in EV sales complicate Europe's electric transition.

Low resale values for electric cars have forced Europe's leading leasing firms to double their prices over the past three years. Some industry executives threaten to quit the market if regulations push them to adopt electric vehicles too rapidly.

The price hike in leasing comes as cuts in EV subsidies slow down sales in key markets like Germany. This slowdown risks stalling Europe's electric transition just when there's a push from Brussels to accelerate it.

Ayvens CEO Tim Albertsen has expressed concerns that without the leasing firms, there would be no one willing to take the risk of adopting more EVs. Companies like Ayvens and Arval, which already face financial hits from low resale values, are increasing prices to mitigate further losses.