Electric Vehicles

Business Secretary Jonathan Reynolds is set to confirm the Government will consult on easing rules related to the phasing-out of new petrol and diesel cars, the PA news agency understands.

The Cabinet minister is expected to use a speech to the automotive industry on Tuesday night to announce that changes to flexibilities available to manufacturers as part of the zero-emission vehicles (Zev) mandate will be proposed.

Under the mandate, at least 22% of new cars sold by each manufacturer in the UK this year must be zero-emission, which generally means pure electric.

The threshold will rise annually, including to 28% in 2025.

Under the current rules, the mandate will reach 80% by 2030, but the Government has committed to bring the ban on the sale of new petrol and diesel cars and vans forward from 2035 to 2030.

Failure to abide by the mandate or make use of flexibilities – such as buying credits from rival companies or making more sales in future years – will result in a requirement to pay the Government £15,000 per polluting car sold above the limits.

The consultation, which will be launched in the coming weeks, is unlikely to propose changes to the mandate’s percentages.

It will include amendments to the options for how non-compliant manufacturers can avoid fines.