Sir Keir Starmer is poised to water down Britain’s ambitious electric car sales targets by allowing motorists greater freedom to buy hybrid options, although the government will stick to its pledge to end the sale of new petrol and diesel vehicles by 2030.
The UK prime minister is set to launch a consultation into the changes following conversations with industry leaders, business secretary Peter Kyle and trade union bosses concerned about job losses in the sector from stricter green targets.
The current zero-emission vehicle (ZEV) mandate requires 80 per cent of all new cars sold in Britain to be all-electric by the end of the decade, with hybrid cars making up the other 20 per cent.
But Starmer has signed off a plan to reduce the electric cap to 50 per cent, with hybrid cars — which run on a mix of fossil fuels and electric — making up the other 50 per cent.
Ministers are not dropping the promise to phase out the sale of new internal combustion engine (ICE) vehicles by 2030 as set out in Labour’s 2024 general election manifesto.
Meanwhile, the government will also keep 2035 as the cut-off point for the sale of hybrids, after which only fully electric vehicles will be sold in the new-purchase market.
The ZEV mandate only applies to newly produced cars and has no impact on older cars or second-hand vehicles already on the road.
Labour’s plans to once again shake up the ZEV mandate come despite the party previously criticising the former Tory government for undermining the sector by “chopping and changing” the rules.
But Starmer felt obliged to act after automotive executives warned that the policy would force them to reduce investment in the UK.
Some manufacturers have struggled to hit EV targets without offering heavy discounts or buying carbon credits from rival manufacturers such as Tesla and BYD.
One government figure described the current mandate as “exponential”, saying that although EV sales were rising they were struggling to keep pace with the trajectory of the mandate. “This is all about flattening the pathway,” they said.
There has been a rise in EV sales, particularly as the conflict in the Middle East pushed up the price of fuel. In the first five months of the year, EVs made up 24 per cent of new car sales in the UK, according to the Society of Motor Manufacturers and Traders, compared with 21 per cent in 2025, but the figure is still below the 33 per cent required by the government.
Industry executives had warned that many carmakers would not be able to meet the sharp rise in targets in the next few years despite some flexibilities introduced last year.
One industry executive said the change in trajectory would “ease the pressure” while calling for more clarity on what would count as hybrids.
Two other industry executives said further more moderate options to weaken the EV targets were also still on the table.
A government official said Kyle had been pivotal in the change of policy, having worked closely not only with industry executives but also with Sharon Graham, general secretary of Unite the Union, to tackle the issue.
Graham last week called for the targets to be “radically reduced”, saying the mandate was “significantly contributing to the loss of automotive jobs in Britain”.
The government had been due to conclude a review of the ZEV mandate in early 2027 but Starmer, whose premiership is under threat, appears to have brought it forward as part of what could be his final burst of activity in office.
Proponents of the targets have warned that changing the government direction at a time when EV sales are rising could confuse consumers and penalise companies that have invested heavily in shifting away from the combustion engine.
Greg Jackson, chief executive of Octopus Energy, criticised the government for choosing “short-termist incumbent lobbying instead of the long-term future of industry.
“The fossil fuel market is shrinking globally and our best hope is to speed up development of electric vehicles, not go the other way,” he added.
James Alexander, chief executive of the UK Sustainable Investment and Finance Association, said investors needed certainty to fund the rollout of new vehicle charging infrastructure.
“Any attempt to water down these targets could send warning signals to these investors about the government’s long-term commitment to electrifying our transport network,” he said.
Posted by Desperate_Wear_1866
4 Comments
The one place where government overreach would actually be good and he can’t do it. Incredible
Why every bit of news from Britain is so bad ?
>although the government will stick to its pledge to end the sale of new petrol and diesel vehicles by 2030.
The sooner Labor gets rid of this idiotic pledge that will NEED to be lifted by 1/1/2030 the sooner people can stop calling it an idiotic Labor pledge
As of now the car industry is unable to meet the current EV sales targets, and barring a very huge change it seems quite unlikely that car manufacturers would manage to sell 80% EVs by 2030. In 2025 Oki 25% of new car sales were EVs. The government has reduced this to a 50% EV sales target, with the remaining 50% being hybrids until 2035. The ban on the sale of new ICE cars after 2030 remains in effect.
Barring some massive increase in consumer demand in a very short period of time, I find it unlikely that such a sales target could have been met organically. The article states that car manufacturers were not able to reach their current 33% target without unsustainable discounts or purchasing large numbers of EV credits from electric car companies. It seems to be that a more flexible approach might be more sustainable than the straitjacket.