WATCH: Danny Kelly hits out at ZEV mandate - 'It’s bad for the consumer!'
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The Zero Emission Vehicle mandate consultation will end today
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One of the most popular electric vehicle brands in the UK has called on the Government to commit to the 2030 deadline to ban the sale of petrol and diesel cars.
Polestar, the Swedish luxury electric car brand, has reaffirmed its stance regarding the decision to ban new petrol and diesel car sales by 2030 as the Zero Emission Vehicle (ZEV) mandate consultation comes to an end.
Its UK managing director has called on the Government to maintain its commitment to the net zero transition given that further delays could have a negative impact on drivers investing in electric cars.
In December, a consultation was launched to look into how the future of the Zero Emission Vehicle mandate should continue. At present, manufacturers are required to have 28 per cent of sales come from electric vehicles by the end of the year.
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Polestar has urged the Government to introduce new incentives to help motorists make the switch to electric
GETTY/PA
This threshold will continue to change in the coming years before ultimately reaching 80 per cent in 2030. By 2035, all vehicles sold must be zero emission, as confirmed by Transport Secretary Heidi Alexander.
In response to the consultation, Polestar said there was an "urgent need for decisive action" to combat climate change and drive forward the switch to electric vehicles.
Matt Galvin, MD of Polestar UK, said: "Since it was announced, the 2030 ban on new petrol and diesel car sales has been a crucial step in encouraging the UK to transition to an emissions-free tailpipe future improving air quality and reducing health issues.
"But the potential changes to targets like these have created uncertainty for both consumers and manufacturers alike."
He warned that if the Government does not clarify the ZEV mandate policies, it could create further confusion and discourage EV adoption among British motorists.
To help more drivers make the transition to electric vehicles, Polestar has put forward three policy changes to stimulate the EV market for private buyers, since there are no incentives.
The Gothenburg-based manufacturer has called for a temporary reduction in VAT on new electric vehicles to 10 per cent for three years in a bid to slash the upfront cost of purchase.
Polestar, like many other campaigners and manufacturers, has called for the rate of VAT on public charging to be slashed from 20 per cent to just five per cent to reflect the rate applied to home EV charging.
The third policy is for the Expensive Car Supplement threshold to be hiked to £52,500 from the current rate of £40,000.
Polestar argues that this would reflect the rate of inflation and ensure fairer taxation on electric vehicles, since 81 per cent of cars fall into this category.
Issues with the ECS have been highlighted by the Government, most notably in the Autumn Statement, delivered by Chancellor Rachel Reeves, which acknowledged that it has a "disproportionate impact" on people considering electric cars.
However, it clarified that it would only consider raising the threshold for zero emission cars "at a future fiscal event", with many hoping that changes could be introduced in the Spring Statement next month.
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Galvin added: "The UK automotive industry handed out an unsustainable £4.5billion in discounts in 2024 to meet EV mandates. This is not a long-term solution and throttles investment in future technologies.
"The Government must implement structural incentives that encourage consumers to choose electric vehicles willingly, not just through short-term discounts."
Transport Secretary Heidi Alexander said: "Since we launched the consultation in December, the Government has engaged closely with car manufacturers on how we can support them to deliver the transition to electric vehicles.
"Our consultation on the 2030 phase-out of new petrol and diesel cars has now closed and we will set out our response as soon as possible. We will carefully consider industry feedback as we develop our response, as part of our ongoing commitment to work in partnership with them to deliver this transition.
"2024 was a record year for EVs with sales up a fifth on the previous year and nearly 20,000 public chargers added to the network. We’re continuing to back the sector by investing over £2.3 billion to help the sector and consumers make a supported switch to EVs, creating high-paid jobs, tapping into a multi-billion pound industry and making the UK a clean energy superpower to deliver our Plan for Change."