The UK government is considering changes to its electric vehicle (EV) targets due to growing criticism. The Society of Motor Manufacturers & Traders has called for urgent government intervention to safeguard the sector, warning that weak demand and sales quotas have devastating impacts on business viability and jobs.
Proposed Changes
- Allowing sales credits to be transferred between cars and vans.
- Giving “credits” for British-made EVs sold abroad.
Government Response
The government has acknowledged concerns about the EV targets and is considering changes to the policy. Business Secretary Jonathan Reynolds has expressed concern about the current operation of zero-emissions policies and met with car firms to discuss possible solutions.
Industry Call for Action
The Society of Motor Manufacturers & Traders (SMMT) has called for urgent government intervention to safeguard the sector, warning that weak demand for electric cars and the requirement to fulfill sales quotas had “the potential for devastating impacts on business viability and jobs”.
Ford’s Position
Ford UK’s chair and managing director, Lisa Brankin, told the BBC that without demand, a government mandate to produce and sell more EVs “just doesn’t work”. She called for government-backed incentives to urgently boost the uptake of electric vehicles.
Impact on Jobs
The industry backlash is not just about business viability but also about jobs. Stellantis, the owner of Vauxhall, has announced plans to close a plant in Luton, putting 1,100 jobs at risk, partly due to the EV targets. Ford has also axed UK jobs, with 800 jobs cut over the next three years.
Quotes
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“The one thing that we really need is government-backed incentives to urgently boost the uptake of electric vehicles.” – Lisa Brankin, Ford UK’s chair and managing director
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“I don’t believe the policies that we have inherited, and I mean specifically in relation to zero emission vehicles, are operating today in a way anyone intended them to.” – Jonathan Reynolds, Business Secretary
