Following the long-awaited publication of the Government’s zero emission vehicle (ZEV) mandate, the fleet and leasing industry welcomes the targets for electric vehicle (EV) sales, and tweaks to electric van targets.

Tim Buchan, chief executive at Zenith, said: “EVs are essential for our net zero future and so the formal clarification of the ZEV mandate provides reassurance from the Government that despite the delay to the 2030 deadline, they are committed to an EV future.

“It also shows Government are engaging with industry, having made some minor adjustments to support the van sector which is a sector still in the infancy of its transition.

“Well-defined deadlines and targets enable the industry to strategise and invest effectively and gives fleet operators much-needed clarity when setting their own ambitious EV transition goals.

“The journey towards sustainable and eco-friendly road transportation solutions will be challenging, but clarity and a proactive stance from government will help maintain the pace of investment and innovation we need to succeed.”

Jon Lawes, managing director at Novuna Vehicle Solutions, also welcomed the ZEV mandate saying it provides “clarity for the sector”.

However, he said: “It remains to be seen if this measure will truly be the catalyst required to bolster investment in public charging infrastructure, vital to achieve net zero mobility.

“Whilst fleets remain overwhelmingly committed to decarbonisation, more needs to be done to accelerate the installation of new charge points through mandated infrastructure targets.”

Gerry Keaney, BVRLA chief executive, believes that the ZEV mandate will “wrestle back” some of the confidence that last week’s phase-out delay dented. 

“The decarbonisation divide is growing,” he added. “The company-provided car sector is well on its way and will be fully ZEV ahead of official targets. Others face much harder transitions.

“Vehicle rental, the retail market, and commercial vehicles have a mountain to climb if they are to adopt zero-emission vehicles in the volumes required.

“Targeted financial support and incentives will play a vital role.  

“For those challenging market segments, the breathing space afforded by the ZEV Mandate van trajectory changing, car club parameters being adjusted, and commitment to an accessible transition will be welcome.   

“The Prime Minister may have applied the brakes to the Government’s Phase-Out targets, but the fleet sector still has its foot on the throttle.

“The pace of the transition will continue to accelerate in the years ahead.

“The road to zero is building momentum and we will continue to work with Government officials and stakeholders in the automotive and energy sectors to make sure it is not lost."

Mike Hawes, SMMT chief executive, says that, with less than 100 days to go, manufacturers finally have clarity on what they are required to sell next year and up to 2030.

"The industry is investing billions in decarbonisation and recognises the importance of this mechanism as the single most important measure to deliver net zero," he said. 

"Delivering the mandate will challenge the industry, despite the flexibilities now included to support pragmatic, equitable delivery given this diverse sector.

“It is worth noting the mandate means the UK still retains the most ambitious transition timeline of any major market but without any private consumer incentives.

"Furthermore, the lack of a post-2030 regulatory framework creates investment uncertainty.

“Manufacturers offer a vast range of zero emission vehicles, but demand must also match supply. We need a buoyant market that delivers fleet renewal at scale, ensures a vibrant used EV market and gives consumers confidence.

"This means an attractive package of fiscal and other incentives, mandated infrastructure targets and a consistent message that encourages drivers to switch now.”

Richard Hebditch, UK director of Transport and Environment, argues that the ZEV mandate will pretty much end sales of new petrol and diesel cars by the early 2030s.

“Four out of five of new cars sold will be zero emission by 2030 and that will increase in the following years meaning realistically, that most mass-market car makers are still working towards an all-electric future by the early 2030s,” he said.

“Last week’s announcement pushing back the phase-out dates for new petrol and diesel cars could have blown a huge hole in our carbon budgets. But its impact is now set to be limited by a mandate that squeezes sales every year.

“Given the upfront costs of electric cars won’t be any higher than petrol cars in 2030, you’ve got to ask what the point of last week’s announcement actually was.”

Ben Nelmes, CEO of New AutoMotive, added: “These regulations give the green light to the biggest transport revolution in half a century that will lead to cleaner, cheaper cars for all.

“These targets will be greeted with sighs of relief across the car industry, bringing much-needed clarity, and will support the development of UK-made electric vehicles from Essex to Ellesmere Port.

“We have been calling for a California-style zero emissions vehicle mandate for over two years, and we are pleased that the government is taking a pragmatic and sensible approach that will put Britain back in the fast lane to electric, net zero motoring.”

Ian Johnston, chair of ChargeUK, which represents UK charging infrastructure industry, said: “ChargeUK supports a strong ZEV mandate that provides the confidence to continue to invest in deploying EV charging infrastructure at an unprecedented rate.

“We are turning on a new public charger every 20 minutes, making the UK the best place in the world to drive and charge an EV.

“We are working with government and others to deploy even faster and we welcome the commitment to reform grid connections to enable us to get new chargers in the ground ever more quickly.

“The Prime Minister also committed to speeding up planning processes for the biggest net zero projects and it is essential that this includes EV charging infrastructure.” 

Matt Rooney, head of policy at the IMechE, says that the ZEV mandate is not alone sufficient to deliver decarbonisation of cars on UK roads.

“The Government is proposing to force an increase in supply without making comparable interventions to boost demand,” he said.

“Other policies, in addition to the mandate, are required to make battery electric vehicles an economically viable and practical proposition to consumers.”

Sue Robinson, chief executive of the National Franchised Dealer Association (NFDA), which represents car and commercial retailers across the UK, said: "Whilst NFDA and its dealer members are committed to helping government in reaching net-zero and reducing emissions within transport, the Government’s decision today to keep the electric vehicle sales targets for cars in the ZEV mandate unchanged generates concern amongst franchised dealers.

“These ambitious registration targets will create a difficult trading environment in conjunction with the recent decision to push back the ban of petrol and diesel vehicles from 2030 to 2035.

"As the consumer facing end of the industry, franchised dealers will have to continue to push for electric vehicles to meet these targets whilst the recent five-year delay will likely damage consumers demand for electric vehicles.

“To adopt a pragmatic approach to net-zero targets, NFDA strongly urges the Government to introduce attractive incentives to make electric vehicles more accessible for less-affluent motorists."  

She added: "For vans, NFDA embraces the revised trajectories. This adjustment better aligns with market demand and establishes more attainable objectives within the sector.

“NFDA expressed that the proposed targets were too ambitious for areas such as Northern Ireland, which are extremely underprepared in terms of electric vehicle infrastructure, with only 1% of UK chargers being installed in the province.

“We therefore welcome these regulations not applying to Northern Ireland while the Assembly at Stormont is not sitting.”

Barney Goffer, UK product manager at Teletrac Navman UK, said: “This mandate provides deadlines that the industry was missing, offers a feasible plan to meet the Government’s 2035 carbon net zero target, and gives fleets more opportunity to commence their transition.

"In theory, it should bring more alternatively fuelled vehicles into the market at better price points and for fleets already experiencing supply chain issues for ICE vehicles this should hopefully be welcomed.

“It provides the fleet industry with the clarity it’s been lacking to better plan its decarbonisation journey and transition towards full ZEV switchover.

"My advice to fleet managers would be to embrace the technology that’s in market to analyse fleet trip data and start considering their options now as manufacturers gear up to offer more choice than ever before – we’re hopefully moving towards a situation where the transition will be more sustainable than previously projected.”