Industry insight

The future of installing charge points beyond LEVI: The commercial case for local authorities to enable private investment

David Trousdale, Principal Advisor - Sustainability at Newcastle City Council, explains how local authorities need to look beyond the LEVI funding when it comes to installing electric vehicle (EV) chargepoints.
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James Evison

David Trousdale, Principal Advisor – Sustainability at Newcastle City Council, explains how local authorities need to look beyond the LEVI funding when it comes to installing electric vehicle (EV) chargepoints.

The UK’s transition to EVs is now firmly underway. EV adoption is accelerating, and with it the need for a comprehensive, reliable and accessible charging network. The future of the Local Electric Vehicle Infrastructure (LEVI) Fund and other similar funds is not certain. The next phase of this transition requires a shift in approach—from a model driven primarily by public funding, to one increasingly enabled by private investment and commercial delivery.

Local authorities sit at the centre of this transition. However, their role will need to change. As I  explored in my book, Electric Vehicle Charge Point Infrastructure – from planning to operation, effective delivery is not just about installation—it requires integrated planning, commercial structuring, procurement and long-term operation. Increasingly, this means local authorities playing a role in shaping markets rather than simply delivering assets. This is not a space local authorities traditionally operate in.

EV growth remains strong

The trajectory of EV adoption in the UK is one of sustained growth. There are now over 2 million fully electric vehicles on UK roads, reflecting a continuous increase over the past few years. EVs account for roughly one in five to one in four new car sales, with continued growth expected in the near term. Initial data suggests this growth has been strengthened as a result of war in Iran which has driven up fuel prices.

Looking ahead, the direction is even clearer. Battery electric vehicles sales are forecast to reach close to a quarter of all UK sales by the end of 2026, and could account for the vast majority—potentially 70–80%—of new sales by 2030. This is underpinned by the Zero Emission Vehicle mandate and broader decarbonisation policy. 

It is clear that the demand for charging infrastructure will continue to grow significantly. The key challenge is ensuring infrastructure delivery can keep pace.

LEVI: bridging the early delivery gap

The Local Electric Vehicle Infrastructure (LEVI) fund has been instrumental in supporting rollout in communities and local settings. Designed to enable local authorities to work with the private sector, it provides both capital funding for installations and capability funding to build in-house expertise.

In total, several hundred million pounds has been committed through LEVI. Significant allocations have already been made, including the most recent announcement of  £381 million awarded to local authority projects, focused on  capability funding and the installation of EV charge points, including hardware, electrical connection costs, civil engineering costs and other installation costs.

Crucially, LEVI is targeted at the parts of the network that are least commercially viable—particularly on-street and residential charging for households without off-street parking. It is, by design, a gap-filling intervention.

A time-limited funding model

However, LEVI is not a permanent solution. The majority of capital funding is concentrated across the 2023 to 2026 financial period and will invariably come to an end at some point.

This reflects the programme’s purpose as a transitional mechanism: to catalyse deployment and build market confidence, rather than to provide long-term subsidy. While further funding may emerge in future, there is no guarantee it will be at the same scale or with the same structure.

For local authorities, this introduces a clear strategic reality. Long-term charging networks cannot be planned on the assumption of sustained grant funding. Instead, they must be capable of attracting and supporting private investment.

Private capital is already scaling

The good news is that private investment through charge point operators (CPOs) in EV charging is accelerating rapidly. Market analysis shows investment has already been made and that that billions of pounds are expected to flow into the UK charging sector in the coming years, with some estimates pointing to around £6 billion of private capital investment.

CPOs and investors are focused on building long-term revenue streams based on utilisation, dwell time and site location. Well-performing sites can already generate significant returns, reinforcing the attractiveness of the model.

However, private capital is selective. Investment will naturally concentrate on locations with strong demand, high utilisation and clear revenue visibility. This creates both an opportunity and a challenge for local authorities.

A significant infrastructure gap—and opportunity

Despite rapid growth, the UK’s charging network is behind where it needs to be. There are currently over 120,000 public charge points across the country. Government ambitions point towards 300,000 by 2030, meaning around 50,000 will need to be installed per annum. Some analysis suggests that the actual need is larger than this and will require even greater installations.

This gap represents a substantial commercial opportunity. It also underlines the scale of delivery required—far beyond what public funding alone can support. Unlocking private investment at scale is therefore essential.

Rethinking the role of local authorities

To do this effectively, local authorities must increasingly adopt the perspective of the market. This means moving beyond a traditional focus on infrastructure provision, and towards a more sophisticated understanding of demand, utilisation and commercial viability. Some are already doing this, however ramping up at scale will require all local authorities to adopt this approach.

In practice, this involves:

  • Planning charging networks based on demand modelling and utilisation forecasts
  • Developing portfolios of sites (including recognising what sites already exist), where high-performing locations can help support less viable ones
  • Structuring procurements and concessions that attract private investment while maintaining public value
  • Managing long-term relationships with operators to ensure performance and coverage

As emphasised in my book, success depends on integrating these elements from the outset. Poorly structured procurements risk underutilised infrastructure and missed investment opportunities.

Conclusion: from subsidy to a sustainable market

LEVI and other similar funding schemes have played a critical role in kick-starting local EV infrastructure delivery. But these are not the long-term solution. The future lies in a well established, commercially driven market where the public and private sector works in partnership.

Local authorities that adapt to this shift—by understanding market dynamics and enabling investment—will be best placed to deliver comprehensive, equitable and future-proof charging networks. Those that do not risk falling behind.

The transition from grant driven to self-sustaining infrastructure is not optional. It is the defining challenge of the next phase of EV deployment.

David Trousdale, Principal Advisor – Sustainability, Newcastle City Council. David will be speaking at the Transport + Energy Forum in November during the knowledge exchange session.

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