An electric vehicle charging company part-owned by Britain's major high street banks is exploring a potential sale, as the sector grapples with the fallout from the Treasury's latest tax policies. Sky News has learned that Trojan Energy is working with advisers from Interpath Advisory on a review of its strategic options, which prominently includes finding new investors or a buyer.
Strategic Review and Impending Bids
City sources indicate that bids for the company are due this week. Trojan Energy, which was founded in 2016, specialises in installing on-street and kerbside EV charging points. According to its website, it has established a network of more than 1,500 connections across the UK and holds contracts to install hundreds more.
Information presented to potential buyers suggests this infrastructure positions Trojan Energy for "rapid UK and international scale-up." The company secured a £26 million investment round two years ago from backers including the Business Growth Fund (BGF) and the Scottish National Investment Bank.
Bank-Backed Growth Meets Policy Headwinds
The BGF is a critical investor, having been established by the UK's largest retail lenders following the 2008 financial crisis with a mandate to support small and mid-sized British businesses. Despite this strong backing and its operational growth, Trojan Energy's future is now clouded by government policy shifts.
The primary concern stems from Chancellor Rachel Reeves's decision to introduce a 3p-per-mile tax on electric cars, effective from 2028. This move has sparked growing doubts about future consumer demand for electric vehicles. Furthermore, reports emerged last weekend that the Treasury is also reviewing this charge, alongside the application of VAT on public charging points not located on private driveways.
Uncertain Future for the EV Charging Sector
These fiscal measures represent a significant raid on the EV sector, which has previously enjoyed government incentives to accelerate adoption. The potential double hit of a road tax and VAT on public charging has created a volatile environment for infrastructure companies like Trojan Energy.
The strategic review led by Interpath underscores the company's need to navigate these sudden policy headwinds. Interpath Advisory declined to comment on the ongoing process. The outcome will be closely watched as a barometer for investor confidence in the UK's green transport infrastructure amidst changing fiscal rules.
