Fleets want clarity with electric vehicle sales targets

The UK fleet sector is demanding policy clarity as the government considers easing electric vehicle (EV) sales targets for manufacturers. Reports indicate the UK government may water down the zero-emission vehicle (ZEV) mandate, which currently mandates that 80% of new cars sold in the UK must be fully electric by 2030. The mandate, introduced in 2024, requires manufacturers to sell increasing percentages of zero-emission vehicles annually, with fines for non-compliance. Last year, the government confirmed it would end the sale of new petrol and diesel cars by 2030, while allowing hybrids to be sold until 2035. Vans with internal combustion engines (ICE) would also be permitted until 2035, alongside full hybrids and plug-in hybrid light commercial vehicles (LCVs). These changes followed a consultation launched by the Department for Transport (DfT) in December 2024. The ZEV mandate initially required over 22% of car and 10% of van sales to be electric in 2024, rising to 28% for cars and 16% for vans in 2025. By 2026, the targets increase further to 33% for cars and 24% for vans. However, the Society of Motor Manufacturers and Traders (SMMT) has repeatedly called for a review, citing concerns over retail demand and the financial burden on manufacturers. The union Unite also warned that current targets threaten thousands of jobs in the UK automotive sector. Matt Walters, head of consultancy services at Ayvens UK, emphasized the need for a stable policy environment, stating that fleet operators plan in three-to-five-year cycles and require visibility on future policies. He acknowledged industry pressure but stressed that businesses need clear guidance to adjust their fleet plans effectively. The 2024 Vehicle Emissions Trading Schemes (VETS) report showed manufacturers met only 17.3% of the 22% car target due to fuel efficiency rewards, highlighting the challenges of meeting current demands.