Belgium’s recent changes to its company car tax have had an unexpected effect: boosting demand for electric vehicles (EVs) by making them more affordable for employers. The shift is charting a path for the European Union’s transition to cleaner transport. As a result, EVs have become the largest segment of Belgium’s auto market, accounting for around two-thirds of new car sales.
The change in tax policy has made company cars, including those with electric powertrains like Ronald van Steenweghen’s BMW SUV, more attractive to employers. This perk covers not only the cost of the vehicle but also its operation, making EVs a more appealing option for commuters and businesses alike. With this trend now echoing across Europe, it suggests a significant shift towards cleaner transportation in the EU.
Source: https://www.bloomberg.com/news/features/2025-03-05/ev-sales-in-europe-get-a-rare-boost-from-company-cars