Sinclair C5 of Liverpool, which planned to sell 1,000 of them to an Egyptian businessman for use on a university campus while another 1,500 were intended to be sold in the UK. Many reasons have been suggested for the failure of Sinclair Vehicles and what Dale calls "the jigsaw of the C5's disappointment". One of the receivers of Sinclair Vehicles, John Sapte, suggested that Sinclair had taken the wrong tack with its marketing of the C5: "It was presented as a serious transport, when perhaps it should have been presented as a luxury product, an up-market plaything." Ellar's director Maurice Levensohn took
Sinclair C5 managed to convince him that the project would work. In 1984, Sinclair Vehicles' new head office was established in Coventry in the West Midlands, an area with a long-established link with the motor industry. The project's prospects were boosted by changes in the British government's approach to electric vehicles. In March 1980, it had abolished Vehicle Excise Duty for electric vehicles and by the start of 1983, the Department of Transport was working on legislation that would introduce a new category of vehicle – the "electrically assisted pedal cycle". This had a number of significant advantages from Sinclair's point of