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French Government Suspends Popular Budget Class Electric Car Program Due to Overwhelming Demand

At the end of last year, the French government announced an ambitious idea – families with lower incomes were offered the opportunity to buy a European-made budget class electric car, but the monthly lease payment was promised in the range of 100 to 150 euros. The public’s response turned out to be so great that the government had to stop the program.

Already within the first few weeks, approximately 90 thousand applications were received, the demand far exceeding the limits of the available funds. Buyers were not asked for a down payment, the car can be bought at the end of the lease term, and the other requirements were not excessively high either – a person had to be at least 18 years old, drive about 8,000 kilometers a year, live 15 kilometers from their workplace and the price of the car could not exceed 47 thousand euros . On the other hand, the taxable income of the household could not exceed 15,700 euros per year for each person in the household.

Initially, it was planned to allocate one and a half billion euros for the purpose, in order to ensure about 20 thousand leases. Taking into account the high demand, a decision was made to increase the amount of funds in order to provide 50 thousand cars for leasing. However, it was also far too little and the government decided to suspend the program this year, to return to it next year.

In order to support European car manufacturers and reduce dependence on China, a special list of machines that can be purchased through this program has been created. The options are actually not bad at all – Volvo XC40 Recharge, Tesla Model Y and Škoda Enyaq 60 are some of the cars on the list. These particular ones are from the “expensive end” – you can also find smaller, cheaper cars. Previously, the list of cars was much longer, but the French deliberately removed many cars in order to promote the sale of cars manufactured in Europe.

2024-02-17 10:00:00
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