Relaxation of ZEV mandate rules welcomed by Logistics UK but more needed

The changes announced by the UK government on 7 April to the Zero Emission Vehicle Mandate are welcomed in principle by business group Logistics UK, but Deputy Director – Policy Michelle Gardner says they do not address the practicalities of incorporating electric vans into commercial fleets.

The ZEV Mandate will now be changed to make it “easier for industry to upgrade to make electric vehicles” and allowing hybrid cars on sale until 2035, while delivering Labour’s manifesto commitment to stop sales of new petrol and diesel cars by 2030.

At the same time, new vans with an internal combustion engine (ICE) will also be allowed to be sold until 2035, alongside full hybrids and plug-in hybrid vans, responding to widespread concerns about the challenges of van electrification.

The updated ZEV mandate will maintain the existing phase-out dates and headline trajectories for cars and vans – which include targets this year of 28% ZEV sales for new cars and 16% for vans.

But the government is now increasing flexibility of the mandate for manufacturers up to 2030, so that more cars can be sold in later years when demand is higher. It’s also allowing hybrid cars – such as the Toyota Prius and Nissan e-Power – to be sold until 2035 to help ease the transition and give industry more time to prepare.

Prime Minister Keir Starmer said there was a huge opportunity to be harnessed here – with the UK being the largest EV market in Europe – but added that the UK was “easing pressure” on the industry, giving greater freedom on how to meet targets, following the US 25% levy on vehicle imports that came into force last Thursday.

The changes follow the recent consultation with vehicle makers and the wider industry but are believed to have been accelerated by the US tariffs, which have already seen JLR pause exports to “address the new trading terms”.

Sir Keir Starmer said: “Global trade is being transformed so we must go further and faster in reshaping our economy and our country through our Plan for Change."

Ms Gardner said: “Vans are the workhorses of the UK economy, and our members will welcome the clarity that this announcement gives that petrol and diesel vans can be sold alongside full hybrid and plug-in hybrid vans until 2035.

“The sector is fully committed to decarbonisation, but commercial vehicles are acquired and used very differently to cars, and zero tailpipe emission vehicles must make commercial and operational sense before businesses can incorporate them into fleets.

“There are still significant barriers preventing more widespread adoption, and our members cite increased vehicle costs, lack of usable public charging, the time and cost of installing infrastructure at depots and higher regulatory burdens.

“These are practical concerns that need to be addressed, and we continue to urge government to work closely with the logistics industry and give operators the confidence to invest in green fleets while ensuring the resilience of the UK’s supply chains moving and delivering the goods that we all rely on every day.”

Published On: 10/04/2025 14:20:20

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