The UK will now wait another five years for the ban on the sale of new petrol and diesel vehicles

Industry reaction to ICE sales ban pushback to 2035

The UK will now wait another five years for the ban on the sale of new petrol and diesel vehicles, after the prime minister pushed the deadline back from 2030 to 2035, according to a report from AM Online. The announcement was “unsurprising” to some in the industry and brings the UK in line with our largest international trading partner, the European Union.

However, the Zero Emissions Vehicle (ZEV) mandate will still progress as planned, which requires vehicle manufacturers to ensure at least 22% of their new car sales are zero emissions in 2024. This rises incrementally each year to 80% in 2030 and 100% by 2035. There are significant penalties for those who miss the targets, so it is still highly likely most new vehicles sold in the UK will be fully electric by the end of the decade.

Industry Response

Sue Robinson Chief Executive of the National Franchised Dealers Association (NFDA), said the announcement was “unsurprising given the Government’s inertia around driving EV adoption in the UK.” She continued: “This change will likely create further uncertainty for the industry. However, it does align the UK automotive industry with the European Union, its largest international trading partner, and automotive dealers support this.” Read more on the NFDA’s reaction here.

The Society of Motor Manufacturers and Traders (SMMT) published this statement from Chief Executive Mike Hawes: “The automotive industry’s commitment to a zero-emission new car and van market remains unchanged. Net Zero cannot be achieved without this sector’s decarbonisation. The Prime Minister has confirmed that a mandate to compel the sale of EVs – the single biggest mechanism to deliver Net Zero – will be published shortly, starting in January 2024.

“Manufacturers will continue to put innovative new models on the market but consumers need encouragement to buy more than ever. Today’s announcement must be backed up with a package of attractive incentives and measures to accelerate charging infrastructure to give consumers the confidence to switch. Carrots move markets faster than sticks.”

Ensuring Customers Are Protected

Despite the change, EV sales will continue to ramp up over the coming years, and retailers need to ensure their customers are able to protect their vehicles with the highest quality aftercare products on the market. As an industry-leading provider of warranty and add-on insurance solutions, which includes electric vehicle (EV) products and services, Car Care Plan has specific wording for hybrid and battery electric components in our standard warranty products. We have also recently launched our EV Drivers Club membership programme, which supports customers with a wide range of benefits.

Chris Strong, Head of Field Sales and Business Development at Car Care Plan, said: “The announcement on the pushback of the ban on the sale of new petrol and diesel vehicles to 2035 does not change our commitment to supporting our dealer and manufacturer partners with the provision of industry-leading financial aftercare products.
We will continue to innovate and bring products and services to the ever-changing market that meet consumers’ needs and requirements over the coming years, as we all strive to meet net zero targets.”

To learn more about Car Care Plan’s EV products and services, contact us today.

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