The UK government has eased its ZEV Mandate (Zero Emission Vehicle) rules following the introduction of US tariffs by the Trump administration. The move aims to address rising concerns within the automotive industry and to boost the adoption of electric vehicles (EVs).
The government stated that the declared changes will reinforce its pledge to transition to electric vehicles while implementing practical measures to help the industry achieve the goal.
As per the updated ZEV mandate, the government has affirmed its plan to halt the sale of new petrol and diesel cars starting in 2030. Hybrids will continue to be sold until 2035, with exemptions for small manufacturers. Additionally, internal combustion engine (ICE) vans, full hybrids, and plug-in hybrid light commercial vehicles (LCVs) will remain on the market until 2035.
The changes follow a consultation initiated by the Department for Transport (DfT) in December 2024, which concluded in February. The ZEV mandate previously required manufacturers to ensure that 22% of new car sales were purely electric in 2024, increasing to 28% in 2025.
The updated mandate introduces flexibility through van-to-car credit transfers. Under this system, one car credit can be converted into 0.4 van credits, while one van credit can be exchanged for 2.0 car credits.
The Vehicle Remarketing Association (VRA) cautiously welcomed the updated mandate. The chairman noted that the government had acknowledged the difficulties in meeting the initial targets. He emphasized challenges in the used EV market, citing poor residual values and increasing volumes, and urged more consumer incentives and investment in charging infrastructure.
Manufacturers falling short of ZEV mandate targets will now face reduced penalties, with car fines decreasing by 20% to £12,000 and van fines dropping by 18% to £15,000. The Department for Transport expects that few firms will face charges. It also clarified that the support for automotive sector will be reviewed as the impact of new tariffs becomes clearer. Furthermore, the initiative will be backed by a comprehensive industrial strategy set for release this spring.
EV WORLD | UK Eases EV Rules to Support Auto Sector Amid Tariffs
