British EV subscription service Onto raises £100 million to boost adoption

London-based electric car subscription service Onto has raised a new credit funding line of £100 million to boost the company’s goal of accelerating EV adoption.

Launched in 2018 and having grown by 300% in 2022 alone, Onto currently boasts an EV fleet of over 7,000 vehicles – the largest electric car fleet in the United Kingdom.

Offering a monthly contract, no deposit, free charging at over 11,000 chargers across the UK, included servicing, and no road tax (while Onto will also take care of the London Congestion Zone registration), Onto currently offers 25 different car models.

As part of Onto’s mission to accelerate EV adoption and provide a flexible alternative to traditional car ownership, the company announced last week that it had raised a new credit funding line of £100 million (around $A174 million)).

The £100 million asset-backed facility was provided by global investment group CDPQ and independent asset manager Pollen Street and will enable Onto to continue expanding its UK fleet with the latest model EVs.

“We’re grateful for the support of Pollen Street and CDPQ – it will turbocharge our UK growth plans and consolidate our position as the leading electric car subscription service,” said Rob Jolly, Onto CEO & co-founder.

“This is a pivotal moment for the adoption of electric cars and at Onto we want to make them more accessible and affordable to people who want to make environmentally-conscious choices.

“The opportunity to provide an alternative to car ownership has also never been more desirable – our subscribers benefit from the convenience, flexibility and choice that come with a monthly subscription model.”

Amongst the EV models available from Onto are the Renault Zoe, Hyundai Kona, Volkswagen ID3 & ID4, and the Tesla Models 3 and Y.

“Onto provides an attractive and comprehensive subscription alternative to access EVs in an industry gaining momentum for environmentally-friendly modes of transportation,” said Marc Cormier, executive vice-president and head of fixed income at CDPQ.