Over half of UK dealers want ZEV mandate targets to be lowered

Just over half of UK dealers have said they would like Government mandated new electric vehicle car sales targets to be lowered, according to research by Startline Motor Finance.

More than half of used car dealers (51%), with 58 UK dealers polled on their views, believe lower production targets that slow the introduction of electric cars should result from the Government’s current Zero Emissions Vehicle (ZEV) mandate consultation.

The ZEV mandate requires dealers to help their manufacturer partners hit a 28% new car market share for EVs before the end of 2025, up from 22% last year.

The current ZEV targets continue to increase over the next few years up to 80% of new cars and 70% of new vans by 2030, increasing to 100% by 2035.

The Government has previously ruled out lowering the targets, but has said changes could include altering the way manufacturers will be fined for missing their EV sales targets.

Startline’s February Used Car Tracker shows strong backing for allowing hybrids to stay on sale for longer, possibly until 2035 (47%), interest free loans for consumers buying electric cars (43%), and lowering of the £15,000 per vehicle fine if manufacturers miss targets (41%).

Other suggestions include allowing UK-made EVs to be included in production totals even if they are exported (34%), new manufacturer targets that combine electric car and van sales (28%) and looser rules that enable manufacturers to trade credits (16%).

Paul Burgess, Startline Motor Finance chief executive, said: “The main change dealers really want from the consultation – a general relaxation of the ZEV Mandate targets – is the one thing that the Government has already ruled out, so disappointment seems inevitable. 

“However, other ideas that have been floated in the media and elsewhere suggest that there could be some potential common ground, such as the introduction of interest free loans for used electric cars and lowering of the £15,000 fine.

“The danger is that the government ends up introducing a range of measures that move the dial on used electric car adoption only marginally when it seems that the motor industry is looking for a more radical revision.”

However, there is limited enthusiasm for abandoning the ZEV Mandate altogether, with just 12% of dealers backing this idea.

Burgess added: "In a way, this is the most interesting finding from this research.

"It suggests that dealers recognise the need for the ZEV Mandate and electrification in general. Relatively few think that the whole strategy should be abandoned."