The potential rollback of existing electric vehicle (EV) sales targets in the UK could put billions of pounds of investment at risk.
Organisations and investors leading the EV charging infrastructure rollout have therefore, urged the Government to reaffirm its commitment to the current zero-emission vehicle (ZEV) sales targets.
Beama, the UK trade association for energy infrastructure manufacturers, along with ChargeUK, the Association for Renewable Energy and Clean Technology (REA), and the UK Sustainable Investment and Finance Association (UKSIF), are advocating for the Government to maintain the target of selling a minimum of 22% ZEVs in 2024, increasing to 80% by 2030 and 100% by 2035.
Indications that this mandate may be weakened are impacting investment intentions, the organisations and investors said.
These organisations encompass UK charge point operators, manufacturers, service providers, infrastructure companies involved in grid connection and metering, along with industry investors.
BEAMA CEO Yselkla Farmer said: “A decision to back track on the ZEV mandate will be entirely counter to the UK’s longer term ambition to drive inward investment for manufacturing.”
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By GlobalData
A quick and public confirmation by the Government regarding EV sales targets remaining unchanged is crucial for private investors to fund the rollout of charging infrastructure and reassure consumers about transitioning to zero-emission vehicles, the stakeholders said.
In November 2024, one in four new cars sold were fully electric, while second-hand EV sales are also reporting growth.
Car manufacturers are on course to achieve the targets outlined in the ZEV mandate, driven by government trading mechanisms and rising consumer demand, they added.
The UK automotive industry is expected to surpass its 22% ZEV sales target for this year.
Deploying charging infrastructure ahead of demand is seen as crucial to support EV growth, drive job creation, boost the green economy, and achieve the UK’s net-zero goals.
According to a National Audit Office report, the EV charging industry is on track to exceed 300,000 public chargers by 2030.
The previous Government’s decision to delay the phase-out date for new petrol and diesel cars from 2030 to 2035 affected investor and consumer confidence.
More than half (57%) of the 100 largest UK transport companies, representing £900bn in turnover, have moved or intend to move investments out of the UK to markets more supportive of their green targets.
REA CEO Trevor Hutchings said the move could “put at risk investment and jobs at the very time when we are in a global race to secure manufacturing in these technologies.
“Instead, the Government should focus on encouraging further consumer uptake rather than shifting the goal posts.”
