Widely expected relaxations to the European Union’s (EU) 2035 ban on internal combustion engined (ICE) vehicles would place “huge pressure” on the UK government to take similar steps, says FleetCheck.
Peter Golding, CEO of the fleet software specialist, said several news sources were reporting the EU would announce a package of measures before Christmas designed to reduce pressure on European manufacturers.
“The EU appears to be recognising car and van makers are facing a perfect storm of needing to make massive investments in electrification while at the same time facing new competition from Chinese new entrants against the backdrop of an overall market that remains tepid.
“While we don’t know yet exactly what steps will be taken, they are likely to be significant, including a potential relaxation of the 2035 ICE ban, which would be a major development.
“Any measures will, of course, place huge pressure on the UK government to fall into line. The EU is the mass market on our doorstep and it is difficult to resist policy alignment in key areas, especially when it comes to a crucial sector of the economy such as motor manufacturing. It is unlikely Keir Starmer will want our car makers placed at a disadvantage.”
Peter said the underperformance of new electric cars – and especially vans – when it came to meeting Zero Emissions Vehicle (ZEV) Mandate targets were a key consideration.
“Even following recent revisions and the recent introduction of new car grants, the 2025 car targets are unlikely to be met and the situation for vans is much worse. We are failing to hit the staging posts put in place to electrify at the rate the government would like to see.
“Our view is the issue is no longer really one of price – new and used EVs are now broadly comparable to their ICE equivalents – but a combination of structural and policy issues.
“Biggest among these are the absence of viable charging options for anyone living in a home without its own parking space which, by some estimates, is half of all motorists. Pavement channel installation needs to happen at a pace. Also, the new electric Vehicle Excise Duty (eVED) announcement has already had an apparent dampening effect on demand.”
He underlined the issue was not one of resisting electrification but being more realistic about the projected timeline.
“As a business, like most in the fleet industry, we support the adoption of zero emissions cars and vans but the UK 2030 target proved unrealistic and the 2035 hybrid revision is already looking as though it too may be unattainable. Should the EU make its changes, UK government should work across the motor sector to identify a future roadmap that is more realistic.”
