Labour government expected to cut electric vehicle targets

Government insiders say Haigh will probably sign off on a 2030 target of about 60%, while extending the flexibilities available to carmakers until 2034. She is understood to have told colleagues she does not want them to come back in the future demanding another target reduction.

The current mandate was introduced under the previous Conservative government, requiring carmakers to make sure they only sell electric vehicles by 2035, with an interim target of 80% by 2030. The policy is the government’s single biggest decarbonisation measure, but carmakers have long argued the interim targets are unattainable due to higher inflation and a squeeze on living standards. The Society of Motor Manufacturers and Traders (SMMT) said battery electric vehicles made up 26.6% of new car sales in the first 10 months of this year, against this year’s 33% target. The consultation has kickstarted an internal battle in government: Business Secretary Jonathan Reynolds has argued for a cut to 50%, Transport Secretary Heidi Alexander is believed to want around 60%, and Energy Secretary Miatta Fahnbulleh and her predecessor Ed Miliband are understood to want to keep the 80% target. Prime Minister Andy Burnham recused himself from the decision because his wife advises a charging network.

Lizzi Collinge, the Labour MP for Morecambe and Lunesdale, said: “The upcoming decision on the ZEV mandate will have a huge climate impact, possibly the biggest one that’s on the PM’s desk.” Catherine Fookes, the MP for Monmouthshire, said: “The government has some incredibly difficult decisions to make in the coming months and the prime minister will need to weigh up the consequences of each. We need the ZEV mandate to stay, and Rosebank to be rejected.” The industry body ChargeUK warned that weakening the mandate puts £1.7 billion of charging infrastructure at risk. Its chief executive, Shane Brennan, said: “Charging investors’ confidence will be rocked by a third change in three years. Government should be in no way complacent about the long-term implications of being seen to cave to the short-term interest of global car importers.” Mike Hawes, the chief executive of the SMMT, said: “The gap between demand and mandated targets continues to widen. Meaningful change to the trajectory, alongside expanded flexibilities throughout the regulation, is essential to bridge that gap, safeguard jobs and investment while keeping the UK’s zero emission transition on track.” Paul McNamee of the Labour Climate and Environment Forum said significant weakening would be seen as “a rowing back on climate leadership”.

A government spokesperson said: “The government is united in its commitment to the ZEV mandate and no decisions have been taken. We are committed to the phaseout of all new cars relying solely on petrol and diesel engines by 2030, and to 100% of new car and van sales being zero emission by 2035, and our legally binding net zero targets. Our consultation on the mandate will not change this, and will ensure we are taking a pragmatic and balanced approach to the ZEV transition.”