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24 December 2024

UK Government Reinstates 2030 Ban On Petrol And Diesel Cars

Transport Secretary Launches Consultation To Shape The Future Of Electric Vehicles

The UK government has officially launched its consultation on the phase-out of petrol and diesel cars by 2030, marking a pivotal step back from the previous administration's decision to extend the ban to 2035.

Transport Secretary Heidi Alexander has spearheaded this initiative, seeking insights from automotive and charging experts as part of Labour's manifesto commitment. The restoration of the 2030 deadline aims to bolster the UK’s transition to electric vehicles (EVs), which the government claims is now imperative. "Drivers are already embracing EVs faster than ever, with one in four new cars sold last November being electric," said Alexander during the consultation launch.

The consultation will last for eight weeks, during which stakeholders will be invited to provide feedback on how best to implement this ambitious target. One of the key areas of focus will be to define which hybrid vehicle technologies may continue to be sold alongside fully electric cars post-2030. The discussions will also address how the Zero Emission Vehicle (ZEV) mandate can be modified to balance the needs of manufacturers with the transition toward zero-emissions.

This recent shift highlights the tensions between government policy and market realities. While many automotive leaders, including representatives from Ford, have warned about the slow uptake of EVs, the government believes re-establishing the 2030 deadline will provide necessary clarity and direction. Lisa Brankin, Chair and Managing Director of Ford UK, stated, "The one thing we really need is government-backed incentives to urgently boost the uptake of electric vehicles."

Historically, the push for this transition began under former Prime Minister Boris Johnson's Conservative administration, which first set the 2030 ban as part of its green recovery strategy. This commitment was seen as ambitious but necessary for reducing carbon emissions and enhancing air quality. Yet, the subsequent extension to 2035 by the Rishi Sunak administration raised significant concerns among industry stakeholders about the ability to meet environmental targets.

The Department for Transport (DfT) claims widespread industry support for the 2030 target prior to the delay and now emphasizes the need for clarity around regulations and incentives for electric vehicle adoption. During the consultation, participants can expect to discuss the potential role of hybrid vehicles and the necessary infrastructure, particularly the charging points needed to support the expected increase in electric vehicle usage.

Currently, the UK has over 72,000 public charging points, with 56 new units being added daily. The government argues this makes charging more accessible than ever, with the promise of additional investment to support the charging infrastructure as the number of EVs on the road increases.

Despite these advancements, the automotive industry faces challenges. Edmund King, president of the AA, remarked, "Drivers have been hesitant about the transition but not hostile to it," indicating confusion around the transition’s logistics and structure. He called for more detailed clarity on hybrid vehicle sales guidelines post-2030, which could significantly influence consumer confidence and demand.

The ZEV mandate currently requires manufacturers to sell specific percentages of electric vehicles, starting from 22% for cars and 10% for vans by 2024. Firms failing to meet these targets could incur heavy fines, pushing industries to strategize effectively on how to align with both consumer preferences and regulatory demands.

Alexander reiterated the economic potential of transitioning to electric vehicles, stating, "Getting this transition right and supporting the growth of the electric vehicle market will enable Britain to tap [into] a multibillion-pound industry and create high-paid jobs for decades to come." The government is aiming for significant growth within the automotive sector as it shifts to greener technologies, framing the transition not just as environmental necessity, but also as economic opportunity.

Industry experts such as Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders (SMMT), highlighted the financial investments needed to align with the government’s targets for electric vehicles. "Aside from the billions invested, it has cost manufacturers over £4 billion this year alone to meet market expectations and targets," he noted, emphasizing the immediate need for actionable incentives and financial relief strategies for manufacturers.

Reinstatement of the 2030 ban follows substantial public interest and pressure from environmental campaigners urging for stronger adherence to climate targets and emission reduction goals. The Labour Party, advocating for this change, asserts it is central to not only restoring public and industry confidence but facilitating the transition required to meet the UK’s net zero ambitions.

Yet, concerns remain over the economic feasibility and logistical challenges hindering the rollout of the necessary infrastructure. With thousands of charging points yet to be installed and the cost of electric vehicles remaining higher than traditional options, the government and industry partners face the pressing challenge of encouraging consumer uptake. Currently, many reports suggest the public's awareness and acceptance of electric vehicles is on the rise, yet practical barriers continue to quiet demand.

The consultation aims to create a feedback loop between the government and the automotive industry, helping refine the approach to EV incentives and regulations. By fostering collaboration among stakeholders, the transition to sustainable transportation can be streamlined, ensuring both job growth and environmental protection are prioritized.

Driving forward these changes could position the UK as both a leader in automotive innovation and as a powerhouse for electric vehicle manufacturing, contributing to long-term economic sustainability.

Overall, this government-led survey is being viewed as both a necessary move toward cleaner transportation and as key strategic planning to avoid uncertainty within the automotive sector as it adapts to the new regulatory climate.