Major car manufacturers fiercely lobbied the UK government. They argued against strict electric car sales rules. Consequently, these companies warned of significant job losses. They also threatened to withdraw crucial investment. This pushback ultimately led to a policy U-turn.
Therefore, documents reveal the detailed private arguments. BMW, Jaguar Land Rover, Nissan, and Toyota all participated. They responded to a consultation on the zero emission vehicle (ZEV) mandate. Fast Charge newsletter first obtained these responses. The Guardian then also received them.
The ZEV mandate requires manufacturers to sell increasing electric car proportions. Alternatively, they face increasingly steep financial penalties. The previous Conservative government established these rules. However, the current Labour government recently added new flexibilities.
Jaguar Land Rover expressed strong concerns. The company said unchanged rules would damage investment abilities. Specifically, they would harm investment in new UK vehicle lines. Therefore, JLR implied future models might not be built domestically.
Meanwhile, BMW highlighted post-Brexit difficulties. The UK has already become a harder production location. The ZEV mandate rules are more radical than EU rules. This challenging environment could damage competitiveness. Ultimately, thousands of UK jobs might be at risk.
Toyota also projected massive costs. Penalties could reach hundreds of millions for individual brands. This financial threat directly places employment and investment at risk. Toyota successfully lobbied for hybrid car sales extensions.
Similarly, Nissan requested more flexibility. Without it, companies face critical cost levels. These costs would divert money away from UK research. Importantly, this would hurt battery EV development in Britain.
Campaigners strongly disagree with the carmakers’ stance. They argue the mandate effectively forces the necessary change. Ben Nelmes of New Automotive praised the policy. He said the 2024 targets were met successfully. The policy is a powerful driver for the transition to electric vehicles.
Tom Riley from Fast Charge criticized the industry’s tactics. Carmakers sometimes wave the union jack for publicity. However, threatening UK jobs to weaken climate policy seems cynical.
The SMMT’s Mike Hawes defended the industry’s position. He cited unprecedented challenges and global competition. The ZEV mandate’s timescale necessitates billions in spending. He argued this unsustainable cost threatened further investment.
A BMW spokesperson reiterated support for climate goals. Nevertheless, consumers ultimately determine the pace of change. Mandates alone cannot create consumer demand for EVs.
A Nissan spokesperson welcomed the government’s pragmatic new approach. They specifically supported new consumer incentives. These measures should help align demand with mandate requirements. The transition to electric vehicles continues, albeit at a negotiated pace.
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