Crypto News: The Galapagos of EVs

Today's newsletter introduces Bloomberg Green's EV Ratings for the UK market — covering every car that's being made and delivered at the moment. Along with prices, range estimates and other critical car specs, we also have a Green rating for each model. For unlimited access to climate and energy news, please subscribe.

By Kyle Stock

In the evolution of the electric vehicle, the United Kingdom is like the Galapagos. The battery-powered genus is thriving, having fractured into a plethora of different species. There are swanky sedans for the CEO set, sporty SUVs for the country driver and tiny hatchbacks for urban commuters. All told, the UK market now boasts 72 distinct EVs across 187 variants — be it a bigger battery, all-wheel drive or sportier motors.

A complete breakdown of the field can be found in the new UK edition of Bloomberg Green's Electric Car Ratings, which unpacks range, price, charging speed and battery size for each model on offer, and combines those specs to identify which cars buyers should consider the "greenest." (The greenest car, according to our methodology: the Tesla Model 3.)

The number of EVs in the UK pales in comparison to the hundreds of models on offer in China — the world's most developed electric market — but reflects logistical and policy factors that are working in Britain's favor. Although the country is the eighth-largest car market in the world, it is now No. 4 in EVs. In July, EVs accounted for 16% of new-car sales in the UK, which has a catalog with 40% more choices than the 50 electric cars and trucks available in the US.

"We're now moving absolutely from early adopters towards more mainstream consumers," says Paul Clarke, founder and editor of the British Green Car Guide.

The UK benefits from its proximity to an array of global carmakers, which are focused on both electrification and affluent markets that are open to EV imports.

Take French car brands Peugeot (which sells the e-208, e-2008 and e-Rifter in the UK), Renault (Megane E-Tech and Zoe) and Citroen (E-Berlingo, E-C4 and E-Spacetourer). Because of the British islands' proximity to France, these carmakers collectively crank out eight EVs that are available in the UK. None of them are available in the US, which Peugeot, Renault and Citroen pulled out of in the 1990s.

The Peugeot e-208 EV features what the carmaker calls "three-claw" headlights. Courtesy of Peugeot

Of all 72 cars on the UK list, almost two-thirds are made by European carmakers. Just 4% come from US companies, and 30% are from brands based in Asia, including four models out of China. That makes the UK somewhat unique among major EV markets: In China, the No. 1 market for electric cars, US- and European-made models account for a small minority of sales. In the US, the No. 2 market, electric cars made in China aren't available at all.

A Volkswagen ID.Buzz electric vehicle at the Shanghai Auto Show in April. Photographer: Qilai Shen/Bloomberg

In recent years, the UK has implemented a number of policies to encourage EV adoption. The country has also set a 2035 sunset date for sales of petrol cars (though it's sent mixed messages about how tolerant it will be of them after 2030). That moratorium, which only applies to new vehicles, comes with an emissions ceiling that gets lower over time. Next year, carmakers face fines of up to £15,000 per vehicle if combustion vehicles comprise more than 80% of their total sales by unit.

Both the targets and the penalties are tougher than emissions regulations in the US, making it more critical for carmakers to establish a beachhead for EV sales in England. "The whole market is policy-driven and tax-driven," says Michael Dean, a Bloomberg Intelligence analyst in London.

The interior of the BMW i7. Courtesy of BMW

Globally, every major EV market is evolving in lockstep with the companies and policies that inform it. In the US, car companies are focused on sales of premium SUVs and pickups, frustrating consumers looking for affordable options. In the European Union, where Chinese cars account for 8% of EV sales, regulators launched an investigation into China's EV subsidies. In China, fierce competition in a fast-growing EV market has already spurred a wave of consolidation.

For now, only some of those challenges are familiar to the UK. The country has its share of luxury sleds — like the six-figure BMW i7 — but also has 45 models that cost less than £50,000. Smaller, cheaper cars, like the £32,000 Ora Funky Kat, are able to scoot around the alleys of London even as they wouldn't pass muster on US highways.

You can read and share the full version of this story on Bloomberg.com.

10,000

That's the number of electric vehicle charging points in Greater London as of July 2022.

"I never thought I would see the day when our products were so heavily politicized."

Bill Ford

Executive Chairmain of Ford Motor Co.

There's a big partisan divide in the US over EVs, according to data from BloombergNEF. Going electric has also become a potent political issue in the UK in recent months.

A year after Hurricane Ian ripped through southwest Florida, wealthy risk-takers are transforming one beach town. In Fort Myers Beach, many of the middle-class cottages that once dotted the Estero Island town were wiped off the map. Ian killed 21 people and swept away a third of the homes and businesses on the narrow, 6.5-mile-long strip of sand, leaving a blank canvas for affluent newcomers — and a preview of what could take hold in other coastal communities as climate change spawns more intense storms.

Debris sit in a pool after Hurricane Ian. Photographer: Eva Marie Uzcategui/Bloomberg

By Anna Shiryaevskaya and Brian K. Sullivan

Storm Ciaran will hammer southern parts of England and Wales — including London — from late Wednesday into Thursday, the UK Met Office said. The service issued an amber warning for southern England for Thursday as "very strong" winds could bring danger to life from flying debris.

It added that building roofs could be blown off, power lines brought down and that there could be delays or cancellations to train and flight services.

Ciaran "will bring some very wet but also exceptionally windy weather" to the southern UK, particularly around the English Channel, Alex Burkill, a meteorologist with the Met Office, said.

On Thursday, wind gusts will potentially exceed 85 miles per hour in the most exposed English Channel coastal spots, the Met Office said. There is also a risk of flooding and transport disruption across Northern Ireland on Wednesday and Thursday.

This week, the International Energy Agency published its flagship report: The World Energy Outlook. It's dominating climate news because what the IEA says makes a big difference to how governments tweak their energy policies. But how did an organization formed by a handful of countries in response to the 1973 oil crisis come to hold so much influence over our response to the climate crisis? For the answer, this week we're revisiting one of our favorite episodes: an interview with Fatih Birol, the head of the IEA about how the IEA has cemented its role in the energy transition. Subscribe to Zero on Apple or Spotify to get new episodes every Thursday.

BloombergNEF has opened applications for its Pioneers awards for startups working to solve three major climate challenges. Those include reducing buildings' carbon footprints, easing the bottleneck to getting clean energy on the grid and creating fuels that don't fry the planet. Read more about the program here. Applications are open through Oct. 27.