The U.K. government is opening the door on softening its mandates on electric vehicle sales with the launch of a consultation process that will consider alternatives.
It launched the consultation review into zero-tailpipe-emission vehicle targets with automakers and other commercially interested parties in an Aug. 14 statement.
The move follows consistent pressure from the U.K.’s auto industry body, the Society of Motor Manufacturers and Traders, which has reported automakers losing “billions” of British pounds in offering EV discounts to consumers in attempts to meet mandated sales.
At the moment, mandates require carmakers to ensure a rising proportion of their annual sales are zero-emission vehicles, with EVs accounting for 33% of new-car sales in 2026, 80% in 2030 and 100% by 2035.
Yet, the latest SMMT data has shown these targets are not being met, with EV market share in the U.K. expected to reach 27.4% by the end of the year, according to its latest estimates.
The government review that opened Aug. 14 asks senior industry interests to consider four alternative pathways for the ZEV targets. Three of these would retain the 2035 endpoint but cut the 2030 target to as low as 50%. A fourth would keep the existing path but introduce extra flexibility to help manufacturers achieve the targets.
The SMMT’s chief executive, Mike Hawes, welcomed the review in his Aug. 14 response on the society’s website.
He said the review is much needed by the industry. “It matters, therefore, not just because the mandate influences the competitiveness of one of the country’s most important sectors, but because it will help determine the success of Britain’s EV transition,” he said. “Getting both right is imperative.”
However, he said several major challenges facing industry exist in the U.K., including uncompetitive energy costs, public charging remaining too expensive and inconsistent, and high costs of raw materials and batteries.
While EV demand has accelerated, this has only been achieved by automaker discounts and government purchase incentives, said Hawes.
“This is why every manufacturer, locally manufacturing or importing, in credit or not, believes the U.K. will not meet its 2030 target,” he added.
His comments were largely echoed by the U.K.’s industry skills training body, the Institute of the Motor Industry.
The IMI said in its Aug. 14 release that whether the ZEV target for 2030 is 50% or 80% of EV market share, the government must strike the right balance between making the transition and what the market will handle.
“Targets have to be realistic and deliverable, for manufacturers, for the supply chain and for the consumers who'll ultimately decide how quickly this transition happens,” said IMI chief executive Nick Connor in a policy response published on June 15. The government “needs a clear picture about the pace of transition so that training providers, employers and individuals can plan investment in skills with confidence,” he added.
The news was not welcomed by the EV lobby. In an email to WardsAuto, Gurjeet Grewal, CEO of Octopus Electric Vehicles, claimed the ZEV mandate is working and weakening it now sends the wrong signal to manufacturers and consumers alike.
“Carbon Brief estimates weaker targets could cost consumers 3 billion pounds a year in expensive petrol by 2030,” he said. “We should be accelerating the transition, not creating another policy wobble that leaves drivers, businesses and the U.K. economy paying the price.”
