UK carmakers are on course to meet this year’s electric vehicle (EV) sales targets, despite having successfully lobbied the government to soften the rules.
In the first half of 2025, EVs accounted for 21.6% of new car sales, according to analysis from thinktank New AutoMotive. This puts the industry only marginally below the adjusted target of 22.06% once official “flexibilities” are factored in – such as borrowing credits from future years and earning partial credit from selling hybrids.
The data undercuts the industry’s argument that the zero-emission vehicle (ZEV) mandate introduced by the previous Conservative government was too strict. That policy, which required carmakers to increase the share of electric vehicles sold each year or face fines of up to £15,000 per car, faced intense lobbying from automotive leaders.
In April, new business secretary Jonathan Reynolds confirmed that Labour would ease the requirements. The changes include more generous flexibilities and reduced penalties. Carmakers argued the rules were unworkable and even blamed factory closures – including Stellantis’s decision to shut its Luton van plant – on the ZEV mandate. However, earlier statements by company executives cast doubt on that rationale.
Ben Nelmes, CEO of New AutoMotive, said: “Carmakers are within touching distance of their targets for 2025 before taking into account the government’s decision to weaken the targets. This impressive progress should reassure ministers that ambitious targets spur the innovation and dynamism the UK needs to achieve net zero and get ahead in the global shift towards electric vehicles.”
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