Electric vehicle sales targets could be cut after pressure from car makers

The UK's electric vehicle (EV) sales target may be reduced after car manufacturers exerted pressure on the government. Currently, manufacturers are obligated to ensure that a percentage of their annual sales are zero-emission vehicles, with the target incrementally rising to 80% by 2030. However, the government is contemplating lowering this requirement to 50% by the end of the decade and seeking public consultation on this matter until late October.

Environmental groups have criticized this possible reduction, arguing that it undermines the UK's long-term climate goals. Under the existing ZEV mandate, the share of new car sales that must be EVs increases yearly, from 33% in 2026 to 80% by 2030, with a complete ban on selling only petrol or diesel cars in place by 2030. However, the proposed changes might permit car manufacturers to sell a greater proportion of hybrid vehicles as part of the UK's overall sales.

If the government lowers pure electric sales targets to 50%, the remaining 50% would need to be made up of hybrid vehicles. Alternatively, the target could remain at 80% but with flexibility extending as far as 2034. A longer deadline for phasing out new hybrid sales would also remain until 2035. The EV sales policy has undergone significant changes over the years, with a ban on new petrol and diesel vehicles initially announced by Boris Johnson, then postponed to 2035 by his successor Rishi Sunak.

He also introduced more gradual EV sales targets under the ZEV mandate. Labour has accused previous Conservative governments of "moving goalposts" on phase-out dates. Car industry figures have urged ministers to ease the targets, citing insufficient demand for electric vehicles and the financial burden on manufacturers. Despite electric cars comprising a quarter of total sales in the UK during the first half of the year, the Climate Change Committee has stated that transitioning from diesel and petrol engines to EVs is the most effective method to reduce carbon emissions over the next decade.

Transport Secretary Heidi Alexander stated that maintaining flexible targets is essential to ensure they are practical and support British industry. The ultimate goal remains unchanged – but the government aims to involve the industry in the transition. Car manufacturers welcomed the government's willingness to listen, emphasizing the importance of offering certainty to businesses and customers.

However, EV advocates and climate groups have criticized the move, arguing that weakening the targets would result in fewer electric cars on the roads by 2035 and send the wrong signal as EVs become more affordable. The rapid increase in petrol prices due to the Iran war has also boosted interest in electric cars as a consumer spending option.

The Green Alliance has warned that reducing targets would lock in avoidable emissions and undermine manufacturers' confidence in investing.