Battery-powered electric vehicles will dominate the marketplace within the next eight years, according to senior executives in the UK car industry.
In a striking landscape switch, the technology synonymous with diesel cars is predicted to be consigned to the scrap heap, as manufacturers embrace more efficient, eco-conscious forms of fuel.
Professional services giant KPMG reported back on its annual Global Automotive Executive Survey, with figures suggesting a revolution against diesel, which is fast losing importance for manufacturers.
Only last month, a group of doctors led a campaign for London to follow in the footsteps of other major European capitals in banning diesel vehicles.
As many as 90% of executives expect battery electric cars to have pole position in the marketplace by 2025 – with 93% of them revealing their plans to start investing in the technology needed for the switch during the next five years.
Furthermore, a telling 62% say diesel is losing its significance with major car brands.
The survey was completed by senior executives across all auto industry areas including suppliers, dealers and manufacturers plus providers of mobility service and financial services.
KPMG’s John Leech explained that “almost the whole automotive industry” is convinced the next decade will stage the mass adoption of electric cars.
Mr Leech puts this assertion down to improvements in the “cost and range of battery technology, coupled with growing concern over the emission of both carbon dioxide and nitrogen oxides from diesel engines”.
Perhaps surprisingly, some 74% of executives think more than half of car owners today would ideally not want to own a vehicle.
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Researchers believe there will be fewer cars and therefore less money to be made from building vehicles in the future as people may opt to use, rent or pay for a car service rather than to own a car.
Mr Leech said: “Carmakers plan to sell myriad of new digital services to vehicle users.
“Today car makers already make substantial profits from the sale of consumer finance and annual vehicle insurance but this will grow in the future as innovative services such as remote vehicle monitoring and the integration of the car as a focal point in people's ever more connected lifestyles are demanded by consumers.”
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