UK prime minister Keir Starmer is preparing to relax the country’s electric car sales requirements by widening the role of hybrid vehicles, while leaving unchanged the government’s commitment to ban the sale of new petrol and diesel cars from 2030.
The Sunday Times reported that the prime minister is believed to have stepped in against the position of energy secretary Ed Miliband following prolonged lobbying from carmakers (notably, represented by the SMMT), the Unite union and business secretary Peter Kyle.
A statement on the proposed revisions is anticipated in the next few weeks.
The changes would markedly slow the transition required under current rules, easing pressure on a market where electric vehicles generally remain more expensive to buy upfront than conventional alternatives.
Under the reported proposal, the zero-emission vehicle mandate would be revised so that, by 2030, fully electric models account for 50% of new car sales rather than the current 80% target.
Any amendment would first go through consultation and would need agreement from the devolved governments before being introduced across the whole UK, creating the possibility of tension between Westminster and administrations in Scotland and Wales.
Motor industry executives have argued that the existing framework risks driving investment out of Britain.
Fears over substantial job losses are understood to have been central to Starmer’s decision to intervene.
The expected move would amount to a reversal on one of the main green policy measures backed by Miliband, who has in recent months faced increasing calls to take a more flexible approach on issues including oil and gas exploration to support growth.
Sharon Graham, general secretary of Unite, said last week that the ZEV mandate “is significantly contributing to the loss of automotive jobs in Britain. This is a clear fact. The targets must be radically reduced”.
She warned that “if the government sits on its hands it will be responsible for the decimation of the automotive industry”.
The ZEV mandate was first set out under Boris Johnson in 2020 and took effect in 2024, when manufacturers had to ensure that at least 22% of car sales were electric.
That figure rose to 28% last year and had been due to reach 33% in 2026. The requirement was designed to climb year-by-year until hitting 80% in 2030, the same year that sales of new petrol and diesel cars are scheduled to end.
Under the original structure, hybrids would have made up the remaining 20%.
Rishi Sunak had postponed the ban on new petrol- and diesel-only vehicles from 2030 to 2035, but Labour restored the earlier date in its manifesto.
Hybrid cars are still due to be phased out in 2035. Miliband had said it was “very important” that the government “strengthened our commitment to our world-leading EV transition plan”, maintaining that the ZEV mandate would help buyers and bolster UK vehicle manufacturing.
Senior figures at Hyundai Motor Group, parent of Kia, have warned that the rules could prompt companies to scale back or withdraw investment in the UK.
The EU has already abandoned its earlier proposal for a 2035 ban on new petrol and diesel car sales.
Instead, it now bases its framework on carbon reduction goals rather than fixed yearly sales quotas.
