Labour Plans to Relax Electric Vehicle Sales Rules Following Industry Pressure

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Labour is considering relaxing rules for electric vehicle sales due to pressure from car manufacturers. Business Secretary Jonathan Reynolds is expected to announce a 'fast track' consultation into proposed changes following intense lobbying. The ZEV mandate requires 22% of new cars sold in the UK this year to be zero-emission vehicles, increasing to 80% by 2030 and 100% by 2035, with fines of £15,000 per car sold above the limits. Carmakers warn of potentially irreversible impacts on employment and investment in the UK.

Labour is considering relaxing rules for electric vehicle sales in response to pressure from car manufacturers. Business Secretary Jonathan Reynolds is expected to announce a 'fast track' consultation into proposed changes following intense lobbying by car firms.

The Government mandate requires at least 22% of new cars sold in the UK this year to be zero-emission vehicles, with this mandate increasing annually to 80% by 2030 and 100% by 2035, when all new non-zero-emission vehicle sales will be banned. Carmakers could face fines of £15,000 per car sold above the limits. However, industry warnings about the ZEV mandate's impact on employment and investment in the UK have been growing. The Society of Motor Manufacturers and Traders reported that fully electric cars made up 18% of new car sales in the first 10 months of this year, below the 22% target for 2024. Business Secretary Jonathan Reynolds and Transport Secretary Louise Haigh met with car manufacturers recently to discuss these concerns

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