The UK car industry has expressed support for government proposals that could allow Toyota Prius-style hybrid vehicles to remain on sale after the 2030 ban on new petrol and diesel car sales. The proposed measures, part of a wider plan to ease regulations on carmakers, have sparked significant discussion among manufacturers and environmentalists.
Consultation on Hybrid Cars Sparks Industry Optimism
On Christmas Eve, the UK government released details of a consultation to clarify which vehicles would be allowed on sale post-2030. This followed years of uncertainty regarding the inclusion of hybrid cars in the transition to zero-emission vehicles (ZEVs). While new petrol and diesel cars will be banned from 2030, the proposals suggest that some hybrids could remain available until 2035, with potential caps on carbon emissions.
The consultation distinguishes between traditional hybrids, like the Toyota Prius, which charge their batteries solely using the internal combustion engine, and plug-in hybrid electric vehicles (PHEVs) that require external charging. Government analysis flagged concerns about PHEVs, noting that their real-world emissions could be significantly higher than official test figures, largely due to users neglecting to charge the batteries.
Carmakers Call for Relaxation of ZEV Mandate
In parallel, the government is also reviewing the ZEV mandate, which requires manufacturers to increase electric vehicle (EV) sales yearly. Carmakers have pushed back against the mandate, citing unsustainable financial pressures. The Society of Motor Manufacturers and Traders (SMMT) revealed that manufacturers spent over £4 billion on discounts in 2024 to make EVs more accessible.
Mike Hawes, CEO of SMMT, described the ZEV mandate and hybrid car inclusion as “critical issues” for an industry grappling with global challenges and the need to decarbonize ahead of natural market demand. The industry has warned that stringent mandates could lead to factory closures, risking thousands of jobs in the UK.
Proposals Include Emissions Cap and Hybrid Exemptions
The government’s proposals suggest allowing hybrids to remain on sale if they meet an emissions cap of 115g of carbon dioxide per kilometre. This could mean some Prius-style hybrids will qualify, as they may emit less carbon than certain PHEVs. However, the Labour government, which reinstated the 2030 petrol and diesel ban, is also weighing stricter caps that could exclude the most polluting hybrids.
The government is expected to fast-track regulatory changes in early 2025, with a focus on flexibility for carmakers. It also hinted at allowing electric vans to count toward ZEV targets for passenger cars, a move that could benefit manufacturers like Stellantis, which has a strong presence in the van market.
Support for British Industry and Jobs
The proposals come amidst industry concerns over factory closures. Stellantis recently announced plans to shut its van factory in Luton, citing ZEV mandate pressures. Business Secretary Jonathan Reynolds emphasized that “there is no route to net zero without backing British industries and workers,” signaling the government’s intent to balance environmental goals with economic stability.
Looking Ahead: A Balanced Transition to Zero Emissions
The consultation represents a pivotal moment for the UK automotive industry as it navigates the path to a net-zero future. While environmental groups may push for stricter rules to curb emissions, the government’s flexible approach aims to safeguard jobs and investment in British manufacturing. The coming months will reveal whether these proposals strike the right balance between environmental responsibility and industrial viability.
