Missing net-zero fast-tracking policies unveiled – Zemo

June 24, 2025

Zemo Partnership has launched a new report outlining the policies needed to fast-track the UK’s transition to net zero transport.
Titled Decarbonising UK Road Transport: Map of Missing Policies, the report is backed by the European Climate Foundation and builds on Zemo’s December 2024 Delivery Roadmap for Net Zero Transport.

The launch coincides with a Zemo-hosted cross-party Parliamentary Roundtable in Westminster, where MPs and Lords will discuss the report’s proposals.
The report sets out detailed recommendations across five road transport sub-sectors: passenger cars, vans, commercial vehicles, buses, and coaches. It also covers energy supply and cross-cutting issues.

Missing net-zero policies

Passenger Cars
• Introduce grants for used EVs priced in line with typical new entry- to mid-level models, with funding available for five years
• Reintroduce the Plug-In Car Grant, focusing on lower-cost electric vehicles
• Support social leasing schemes by subsidising EV lease rates for lower income groups
• Offer incentives to encourage sharing of private home chargepoints

Vans
• Extend the Plug-In Van Grant beyond its current April 2026 cut-off
• Offer time-limited grants for second-hand electric van purchases
• Use incentives to promote plug-in van use for last-mile delivery operations

Commercial Vehicles
• Extend the Plug-In Truck Grant to 2030, removing annual reviews and providing long-term funding certainty
• Introduce a national strategy for charging heavy-duty vehicles on strategic roads and motorway services
• Establish a five-year funding framework to support fleet charging and refuelling infrastructure
• Evolve the Renewable Transport Fuel Obligation (RTFO) from a volume-based to a greenhouse gas emissions-based target, favouring fuels with the highest carbon savings
• Make the RTFO target more ambitious and extend its timeframe beyond 2032

Buses
• Phase in a higher basic BSOG (Bus Service Operators Grant) for electric buses, while gradually tapering diesel support until 2032
• Introduce capital funding to provide equitable infrastructure access for smaller bus operators
• Allow traffic commissioners to attach zero-emission transition requirements to new diesel bus operating licences

Coaches
• Agree a realistic end-of-sale date for new diesel coaches, forming the basis of a wider zero-emission coach strategy
• Launch a zero-emission coach trial initiative, modelled on the Zero Emission HGV and Infrastructure Demonstrator Programme (ZEHID)
• Offer grant support to help grow the zero-emission coach market as more models become available

Zemo’s Acting MD Jonathan Murray said these policies target specific sectoral hurdles to drive faster, more balanced decarbonisation. Public Affairs Head Neil Stockley added that timely, expert-led policymaking is vital to ensure the UK’s transport sector plays its full role in a thriving net zero economy.

You can read the full report here.