Government stands firm on EV vehicle targets

The Department for Transport (DfT) has introduced a Zero Emissions Vehicle (ZEV) mandate, requiring more than a fifth (22%) of cars and 10% of vans sold by manufacturers to be electric this year.

The mandate becomes tougher each year ahead of a complete ban on the sale of new diesel and petrol cars expected to be from 2030, instead of the 2035 end date introduced by the last Government.

Manufacturers will face fines of £15,000 for each vehicle sold outside the target, but the reality of the targets is not as clear-cut as this, as there are several alternative ways for manufacturers to meet compliance. These are intended to mitigate risks associated with product investment cycles and uncertainty regarding sales volumes.

Transport secretary Louise Haigh said that she will look at ‘flexibilities’, but insisted that ‘the mandate will not be weakened’. She said: “There has been a downturn in demand on a global level, so we are in listening mode. We want to discuss how the current situation is affecting them, but we are not diluting our ambition.”

While almost 300,000 new EVs have reached the road in 2024, trade body the Society of Motor Manufacturers and Traders (SMMT) says this represents 18.1% of the market – an increase on 2023, but still significantly short of the 22% target for this year and the 28% which must be achieved in 2025 under the ZEV Mandate.

Meanwhile, fully electric vans currently account for a 5.6% market share – significantly below the 10% required by year end.

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