Government set to ease electric vehicle sales targets this week

The UK Government is expected to relax its electric vehicle (EV) sales targets this week (W/C 9 November), following growing pressure from car manufacturers claiming the current requirements are proving difficult to meet.

Under proposals reported by The Guardian and BBC, the Government could reduce the 2030 Zero Emission Vehicle (ZEV) Mandate target from 80% to around 60%, while extending existing compliance flexibilities for manufacturers until 2034.

The current mandate requires zero emission vehicles to account for 33% of new car sales in 2026, rising to 38% in 2027 and 80% by 2030.

However, the Society of Motor Manufacturers and Traders (SMMT) forecasts that electric vehicles will account for just 27.2% of new car sales this year, falling short of the Government's target.

Manufacturers argue that the gap between regulatory requirements and consumer demand is forcing them to offer significant discounts and absorb additional costs to boost EV sales.

The proposals have also raised concerns among environmental groups and charging infrastructure providers, who warn that weakening targets could undermine investment and the UK's transition to cleaner transport.

No final decision has been confirmed, with the Government expected to consider the proposals following further discussions this week. The existing target for all new car and van sales to be zero-emission by 2035 remains unchanged.

What does this mean for the fleet market? Relaxed targets could slow EV adoption, but incentives for switching could still maintain the company car market. No comment has been made on Benefit-in-Kind tax, but if that remains the same, the proposed legislation adjustment means combustion-powered company cars may simply be on the market more prominently, offered as an option alongside full EVs. 

We will bring you confirmed changes once the news lands, as well as the potential effects for fleets.

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