British vanmakers are urging ministers to suspend penalties for manufacturers missing electric vehicle (EV) sales targets in 2024, as current sales remain significantly below government-mandated quotas. Recent data from the Society of Motor Manufacturers and Traders (SMMT) reveals that zero-emission vans constituted merely 5.7% of sales between January and November, marking a slight decline from 5.8% in the previous year.
The figures fall considerably short of Whitehall’s 10% target for 2024, with manufacturers facing substantial fines of £18,000 per vehicle exceeding the limit starting in 2025. Ford’s head of government affairs, Nicola Walker, emphasises the urgent need for a “moratorium” on fines due to disappointing sales performance.
The impact on the automotive sector is already evident, with Ford announcing 800 UK job cuts amid weakening EV demand. Stellantis, the owner of Vauxhall, has attributed its decision to close the Luton van plant, endangering 1,100 jobs, directly to the UK’s quota scheme.
Unlike the passenger car segment, where EV sales represent nearly one-fifth of new vehicles sold, van sales remain sluggish. Business owners express ongoing concerns about charging-related downtime, despite available government incentives of up to £2,500 for smaller vans and £5,000 for larger models.
The government’s ambitious targets require zero-emission vehicles to comprise 70% of van sales by 2030, starting from 10% in 2024. Industry leaders argue that enhanced charging infrastructure and continued financial support are crucial for meeting these objectives.
The Department for Transport maintains its commitment to phasing out new petrol and diesel cars by 2030, highlighting its £120 million funding package to support zero-emission van adoption, alongside £2 billion for the automotive industry’s transition. However, manufacturers insist that without additional support and infrastructure development, meeting the government’s targets remains increasingly challenging.
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