Ministers are preparing to reduce the UK government’s electric vehicle sales targets this week, balancing economic pressures against climate commitments as carmakers struggle to meet current rules.
Under current regulations, 80% of new cars sold in the UK must be electric by 2030. Industry groups have pressed for urgent changes, citing weak consumer demand and squeezed household incomes that have pushed mandated sales thresholds out of reach.
- Car manufacturers face missing this year’s 33% battery electric vehicle target by a wide margin, with actual sales at 26.6% across the first ten months.
- Cabinet Office minister Louise Haigh will chair key meetings in Downing Street to finalize alterations to the Zero Emission Vehicles mandate following consultations.
- Sustainability groups warn that lowering intermediate targets threatens long-term climate goals, while automotive executives argue adjustments are essential to safeguard manufacturing jobs.
The speed of the transition to electric vehicles has sparked intense debate within the cabinet. Downing Street has maintained that no final decision has been reached regarding the consultation on reducing the 80% rule for 2030.
A government source told the BBC that officials would approach the issue in a pragmatic and balanced way. If ministers proceed with a steep reduction, critics argue it shows economic considerations are taking precedence over environmental targets.
Prime Minister Andy Burnham has recused himself from the deliberations due to familial ties to an electric vehicle company, leaving Cabinet Office minister Louise Haigh to lead the Downing Street meetings. The policy currently accounts for nearly 14% of all greenhouse gas reductions pledged by the UK between 2028 and 2032.
Automotive manufacturers have warned for years that interim targets remain unattainable amid high inflation and tighter consumer financing. The Society of Motor Manufacturers and Traders stated that battery EVs accounted for 26.6% of new car registrations in the first 10 months of the year, falling short of the 33% goal for 2026.
| Metric / Timeline | Current Mandate | Reported Industry Context |
|---|---|---|
| 2025 Interim Target | 28% EV Sales | Phased targets enacted under ZEV mandate |
| 2026 Interim Target | 33% EV Sales | Actual 10-month sales at 26.6% (SMMT) |
| 2030 Terminal Target | 80% EV Sales | Subject to potential government reduction |
| 2035 Final Phaseout | 100% Zero Emission | Committed zero-emission target for new cars |
Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders, said the gap between consumer demand and mandated thresholds continues to widen. Hawes emphasized that meaningful trajectory changes and expanded regulatory flexibilities are essential to bridge that gap and protect domestic investments.
The UK policy shifts mirror wider European debates, where intense pressure from auto-producing nations like Germany prompted the European Union to scrap plans to completely ban new petrol and diesel car sales by 2035. The Conservative Party has similarly vowed to abandon the petrol car ban entirely should it win the next election.
Sustainability advocates maintain that any dilution of the 2030 milestone will undermine capital investment in charging infrastructure and EV manufacturing supply chains. A government spokesperson reiterated that authorities remain legally committed to achieving 100% zero-emission new car and van sales by 2035 alongside legally binding net zero targets.
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