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The UK government has announced a consultation on its targets for zero-emission vehicles, following complaints from carmakers that the current system could lead to job cuts as demand for electric cars stalls.
Transport Minister Heidi-Alexander gave the auto and shipping industries eight weeks to submit their views on it Current EV goals Including how existing “arrangements and flexibilities” will work.
The zero-emission vehicle mandate was put in place by the previous Conservative government at a time when electric vehicle sales were expected to take off.
Under current targets, a certain proportion of each car manufacturer's annual sales must be zero-emission vehicles, with the proportion rising from 22 per cent in 2024 to 80 per cent in 2030. Companies face fines for failing to meet the target of £15,000 per car. From her. The car is below standard.
Electric vehicles It has been calculated This compares to 18 per cent of the UK car market between January and November this year – well below the 22 per cent threshold set by the mandate.
In november, Vauxhall Stellantis owner The company has blamed electric vehicle rules for its plan to close its truck factory in Luton, putting about 1,100 jobs at risk.
Ford also announced 800 job cuts in the UK due to slower-than-expected electric vehicle sales, while… Nissan has warned that jobs at its Sunderland plant, The largest in Britain, it may be at risk unless the government relaxes the rules on electric car sales.
But the government has been clear that the headline figure for 2030 will not change through the new consultation.
“Over the past few years, our automotive industry has been stifled by a lack of certainty and guidance. This government will change that,” Alexander said.
The consultation will be split into two parts: the first will look at which hybrid cars could be included when sold alongside zero-emission models between 2030 and 2035.
The Financial Times previously reported that ministers were keen to allow carmakers to continue selling Prius hybrid models – which use a motor and battery in parallel – in the UK until 2035. Unlike 'plug-in hybrids', which have On larger batteries, “full hybrids” are not plugged in for recharging. In contrast, conservatives are happy that petrol and diesel models remain on sale.
The second part will consult on flexibility within the 2030 target, with officials understood to be open to several rule changes, including expanding the “trade-in” loophole that allows carmakers to buy credits from competitors to avoid fines.
Another “borrowing” scheme under which manufacturers can miss early targets but avoid fines by pledging to overachieve in future years, is also set to be extended by a few years from its scheduled expiry in 2026.
Speaking to the Financial Times, Nicola Walker, Ford's director of government affairs, said the company had called for a “pause” on fines in 2025 on companies that failed to meet targets. However, this would involve changing primary legislation and is understood to be unlikely.
Business Secretary Jonathan Reynolds said: “We are steadfast in our mission to help the world’s leading automotive industry thrive, and this consultation will look at how we can support manufacturers, investors and the wider industry to achieve their goals.”
The changes have been met with consternation by the charging point industry, which has warned that up to £6bn of investment up to 2030 could be at risk if the rules are significantly relaxed.
Vicky Reid, chief executive of ChargeUK, said she hoped the consultation would bring “certainty” to the electric vehicle and charging sectors after “a destabilizing few months, during which the foundations of UK electric vehicle policy have been called into question”.
Reid urged the government to “hold its nerve” and maintain ambitious targets for electric vehicles.
Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders, said: “The car industry welcomes the government’s review of both the end-of-sale date for petrol-only or diesel-powered cars, and potential changes to zero-emission vehicle flexibility.” to delegate.”
He added: “It is essential that we get an urgent solution, with a clear intention to adapt the regulation to support implementation, supported by bold incentives to stimulate demand.”
