UK government officials have reiterated their commitment to phasing out internal combustion engine (ICE) vehicles by 2030, following discussions with the automotive industry on zero-emission vehicle (ZEV) mandates and targets. While manufacturers welcomed the government’s resolve to lead the ZEV transition, concerns remain over financial penalties tied to non-compliance with emissions goals.
Under the ZEV mandate, 22% of cars and 10% of vans sold must be zero-emission by year’s end. These quotas will increase annually until 2030, when the sale of new ICE vehicles will cease. Automakers failing to meet the targets face fines of £15,000 per ZEV allowance for cars, while penalties for vans will rise to £18,000 in 2025. Manufacturers exceeding targets can sell allowances, but industry stakeholders argue that the costs could strain an already challenged sector.
“The UK automotive sector now has the fastest growth of zero-emission vehicles of any major European market,” a government spokesperson said. They added that £2.3 billion has been allocated to support the transition, noting that an average of 57 public EV chargers is being installed daily.
Battery-electric vehicle registrations rose by 24.5% year-on-year in October, comprising over 20% of market share. Despite this progress, industry leaders warned of risks to the UK’s competitiveness and market health. Mike Hawes, CEO of the Society of Motor Manufacturers and Traders (SMMT), expressed concerns about the pace of the transition, stating, “The industry also made clear its concerns about the pace of the EV transition and the negative effect this is having on the health of the overall market and the attractiveness of the UK as a manufacturing location.”
Guillaume Cartier, chairperson for Nissan’s AMIEO region, echoed the urgency for government action, calling for support by year-end to mitigate potentially “irreversible impacts” on the automotive sector. Meanwhile, industry calls for reinstating consumer EV incentives remain unmet, adding to anxieties over maintaining momentum in the transition to cleaner mobility.
The Labour government, which restored the 2030 deadline after its predecessor extended it to 2035, has yet to publish detailed plans. Officials assured stakeholders that measures to support both economic growth and the ZEV transition would be announced soon.
Source: fleetnews.co.uk
