UK Automotive Industry Raises Concerns Over ZEV Mandate and Decarbonisation Costs

During the SMMT Electrified 2026 event in London, UK automotive leaders expressed concerns that the costs associated with the Zero Emission Vehicle (ZEV) mandate are unsustainable. The mandate requires manufacturers to produce an increasing percentage of ZEVs until new petrol and diesel vehicle sales are banned in 2030. Industry representatives called for a faster government review of the mandate and emphasized the need for supportive fiscal policies, improved charging infrastructure, and longer-term contracts for logistics to facilitate the transition to electric vehicles.

Published Mar 25, 2026

At the SMMT Electrified 2026 event in London, UK automotive industry representatives highlighted the unsustainable costs of complying with the ZEV mandate, which requires manufacturers to increase the production of ZEVs until a ban on new petrol and diesel car sales in 2030. Key concerns included the pace of change, the gap between mandated products and consumer demand, and fiscal policies that hinder EV adoption.

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Calls were made for a quicker government review, enhanced charging infrastructure, and longer contracts in logistics. The industry also pointed out the need to lower EV insurance costs and rethink business models due to the rise of battery electric vehicles and potential impacts from autonomous vehicle adoption. Additionally, there were calls for increased support for hydrogen vehicle infrastructure.