The UK electric vehicle (EV) charging sector is on course to contribute £15.5 billion to the economy by 2035, according to new research from industry analysts LCP Delta. The report highlights how EV charging infrastructure will underpin a much larger £385 billion economic opportunity created by the wider electrification of transport over the next decade.
Commissioned by ChargeUK, the report, Powering a Decade of Growth: The Economic Impact of UK EV Charging, examines how the charging sector can evolve from its current pre-profit stage into a major contributor to economic growth, investment and employment.
The analysis forecasts that the EV charging industry’s direct economic contribution will increase fifteen-fold by 2035, reaching £2.5 billion annually and generating a cumulative £15.5 billion in value over the period. At the same time, annual sector revenue is expected to rise from £2.5 billion today to more than £8 billion by 2035, driven by growing EV adoption and continued investment in charging infrastructure.
The report also highlights the wider economic impact enabled by charging infrastructure. As the foundation of the UK’s EV transition, the charging sector could help unlock £385 billion in economic value across EV manufacturing, battery production, vehicle servicing and retail. By 2035, the wider EV sector is projected to generate £27 billion in annual economic value, placing it on a similar scale to established UK industries such as telecommunications, broadcasting, and water and waste services.
Investment remains a critical factor in achieving this growth. The charging industry is expected to invest £8.4 billion in infrastructure over the next decade, building on the £587 million invested in 2025 alone. LCP Delta’s analysis suggests the sector could attract as much as £30 billion in external investment as profitability improves and charging assets mature into long-term infrastructure investments.
Image:Chargeuk
Employment is also expected to grow significantly. The UK EV charging sector currently supports around 12,000 direct jobs, but this figure could rise to 35,700 by 2035. When indirect and supply-chain roles are included, total employment linked to the sector could reach 71,500. Across the broader EV ecosystem, including automotive manufacturing, battery production, retail and servicing, the industry could support as many as 334,000 jobs.
However, the report warns that future growth depends heavily on government policy, particularly the Zero Emission Vehicle (ZEV) Mandate, which sets electric vehicle sales targets for manufacturers.
Alongside the report, a survey of ChargeUK members examined how potential changes to the ZEV Mandate could affect investment. The mandate is currently under review and is expected to conclude in early 2027. Charge point operators indicated that further weakening of EV sales targets could reduce investment in charging infrastructure by as much as 50 per cent over the next five years, potentially removing up to £2 billion in capital expenditure from the market.
Such a reduction could significantly undermine the UK’s ability to capitalise on the broader £385 billion transport electrification opportunity.
Conversely, the research identified a major investment upside if the Government introduces measures to make public EV charging more affordable. These include aligning VAT rates between public and home charging and reducing fixed energy costs for operators. According to survey responses, such measures could unlock an additional £5.7 billion in infrastructure investment over the next five years while lowering charging costs for drivers and encouraging faster EV adoption.
The report also suggests that strengthening the ZEV Mandate, including reversing some of the flexibilities introduced in 2025 that allow manufacturers to borrow credits and sell more plug-in hybrid vehicles, could increase charging investment by around 40 per cent during the same period.
Image:Chargeuk
Vicky Read, Chief Executive of ChargeUK, said:
“The EV charging sector is already a British success story with more than 1.7 million chargers, including over 120,000 on the public network. This is the infrastructure that has made the sale of two million EVs possible.
“This new report shows that this success is just the start. There is a huge jobs and growth opportunity ahead, not just for our sector but for EV charging as a foundation for a globally competitive automotive industry, for a secure energy system, and for transport choices that deliver cheaper, cleaner driving. But the industry, which is pre-profit, is at an inflection point. Upcoming policy decisions are pivotal in determining whether it can deliver that growth.
“Government now has to choose. It can once again fold to voices calling for a slower transition, locking drivers into high petrol prices for longer and collapsing charging investment. Or double down to supercharge the transition with a stable ZEV mandate and lower cost public charging. This is the chance to unlock real growth and deliver a massive economic prize which improves the country’s energy security, health and climate impact.”
John Murray, Head of EVs at LCP Delta, said: “Our analysis highlights the vast scale of the economic growth and job opportunities that the EV charging sector represents, unlocking up to £385 billion of GVA by 2035. As a cornerstone of the UK’s EV transition, the charging sector requires a clear and predictable pathway for growth — one that supports continued investment, keeps pace with rising demand, and enables operators to build sustainable businesses.
“As the market matures and utilisation increases, EV charging networks will increasingly generate the stable, long-term cashflows associated with infrastructure assets, attracting further investment from institutional and infrastructure investors.
“With a supportive and predictable policy framework, a future in which drivers benefit from a highly reliable charging experience, delivered by commercially sustainable businesses that contribute significantly to the UK economy — both directly and through wider multiplier effects — is well within reach.”
