The UK government is set to water down its target for electric vehicle sales, bowing to years of lobbying from car makers and trade unions concerned about costs and jobs. Under current rules, 80% of all new cars sold in the UK must be electric by 2030, but a consultation will be held on a new target, with numbers ranging from 50% to 70% under consideration. The policy shift, first reported by the Sunday Times, comes ahead of a meeting between Downing Street and the UK car industry this week.
The move marks the latest twist in a decade of policy changes on electric vehicle sales. A ban on new petrol and diesel cars by 2030 was first announced by Boris Johnson in 2020, then pushed back to 2035 by Rishi Sunak. Alongside that delay, Sunak introduced phased targets – the Zero Emission Vehicles (ZEV) mandate – requiring 28% of new sales to be electric in 2025, 33% in 2026, rising to 80% by 2030. Labour pledged in its manifesto to restore the 2030 ban, but a review of the ZEV mandate had been expected early next year; the industry pressed for it to happen sooner.
“UK government to weaken 2030 electric car sales target, with 50-70% under consideration after industry lobbying.”
Companies that fail to meet the mandate face a potential fine of £12,000 per car, or can buy credits from rivals who have sold more electric or low-emission vehicles. There are no plans to change that penalty system. To shift their quota of EVs, many manufacturers have resorted to discounts, costing the industry more than £10bn over the past two years, according to the Society of Motor Manufacturers and Traders (SMMT). The SMMT told the BBC that “unless there is urgent relief of the mandate, which is still running well ahead of demand and about to ramp up, then the cost will be in jobs, investments and the viability of some businesses”.
Unite union general secretary Sharon Graham warned that failure to act would be “an act of self-harm to a sector which is a jewel in the crown of UK manufacturing”. Industry sources say drivers are reluctant to buy EVs because of concerns about range and a lack of charging points, which has also dented their second-hand value. Sustainability groups argue that any weakening of the target will threaten the UK’s long-term electrification and climate goals. Labour previously accused the Conservative government of “moving goalposts on phase out dates”. The consultation means it could take months before a new target is decided.