The accelerating shift toward vehicle electrification and the wide-ranging opportunities it presents for the automotive services sector and investors are explored by Ashish Khanna (Partner, Financial Services Co-leader L.E.K. Consulting) and Will Chamberlain (Principal at L.E.K. Consulting with a focus in the automotive services sector). They discuss how the transition from internal combustion engines to electric vehicles is unfolding across the UK and Europe, examining the opportunities and challenges for manufacturers, financial services, infrastructure providers, and consumers alike. The conversation highlights:

• Market adoption trends: EV registrations now account for 20–25% of new car sales in leading European markets, with adoption varying by geography and customer segment.
• Government incentives and tax policies: How different policies shape EV uptake and where gaps remain.
• Financing, leasing, and risk: The impact of electrification on car financing models, residual values, and fleet operations.
• Aftersales and maintenance: New requirements for technician training, battery health monitoring, and emerging service business models.
• Infrastructure and insurance: The challenges of scaling charging networks, managing higher repair costs, and establishing a robust used EV market.

Packed with insights from L.E.K. Consulting, this episode offers a practical look at how electrification is reshaping the automotive value chain, and what it means for industry players, policymakers, and investors.