4 days ago
Car industry leaders are set to hold talks this week to discuss changes to the ZEV Mandate rules for electric car sales.
The Sunday Times reports that ministers – including the business and transport secretaries – will meet executives from firms including Stellantis, Nissan and Jaguar Land Rover to discuss changes to tough targets.
This year at least 22% of the cars manufacturers sell must be electric or they face £15,000 fines for every vehicle they miss the target by.
Incentives for the public to buy electric cars are also said to be back on the table as sources tell the paper that ‘the government knows the industry needs help’ hitting the targets.
‘All options’ are said to be up for discussion including subsidies for retail customers to buy electric cars. The plug-in car grant was pulled in 2022.
While a decision is not thought to be imminent, the newspaper reports that ‘reform is on its way’.
A government source told the paper: ‘The UK has become a hard place for manufacturers to do business. This is the beginning of a consultation to explore what we can do.’
Options on table are said to include:
- EV purchasing grants for consumers
- Allowing British made cars sold abroad to count towards targets
- Allowing car makers to include changes they’ve made to emissions from factories in targets
- Equalising the percentage difference between cars and vans
Unite union leader Sharon Graham said it was having ‘constructive discussions’ with the government to ‘reform the ZEV Mandate to protect jobs’.
Stellantis has threatened to quit production in the UK if the government doesn’t come to the table to help the industry.
Speaking to Car Dealer earlier this year, former boss Maria Grazia Davino said ending production at Ellesmere Port and Luton was something the firm would ‘have to consider’ if the new government doesn’t listen to the car industry.
And she called on the new government to be ‘consistent’ and ‘cooperative’ with the car industry and act quickly to introduce incentives to boost electric car demand with retail buyers.
Stellantis is said to be currently conducting a ‘strategic review’ of its manufacturing plants in the UK.
A government spokesman told the paper: ‘The UK automotive industry is one of our great success stories, employing over 150,000 people, and that’s why ensuring the continued success of the industry is a priority for this government.’
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