Octopus Electric Vehicles, the energy company’s electric car leasing business, has secured a £150m funding boost, taking its two-year total fundraising total to £650m.
The funding will help finance Octopus’ employee benefit scheme, which gives employees at firms who opt in a chance to save around 30-40 per cent by providing the electric vehicle, charger and a discounted energy tariff.
Octopus claims its car leasing business will prevent 32,000 tonnes of carbon dioxide from being emitted each year – the equivalent of removing around 11,500 fossil fuel cars.
Fiona Howarth, chief executive of Octopus Electric Vehicles, said: “Drivers are increasingly seeing the benefits of switching out old gas guzzlers for electric cars… with demand soaring, we need manufacturers to continue to increase volumes.”
Despite challenges for the sector in recent months, particularly surrounding the UK’s electric vehicle and battery manufacturing capacity, UK electric car sales are still on the up.
Battery electric vehicle sales jumped 58.7 per cent in May, and made up 16.7 per cent of total car sales for the month, according to data from The Society of Motor Manufacturers and Traders.
Octopus secured the funding from private equity firm Pollen Street Capital.
Howarth said that Pollen Street’s commitment shows that “leadership from the finance sector can make a real difference” in addressing the climate crisis.