Car dealers call for revision of ZEV mandate

NFDA asks transport secretary to re-revaluate EV sales targets

The National Franchised Dealers Association (NFDA) is urging a re-evaluation of the UK’s Zero Emission Vehicle (ZEV) mandate targets considering recent changes to the European Union’s approach to electric vehicles.

The NFDA has sent a letter to transport secretary Heidi Alexander and minister for local transport Simon Lightwood.

In the letter, NFDA highlights the importance of aligning UK regulatory policy with evolving international benchmarks to ensure continued competitiveness, market certainty and realistic transition pathways for both vehicle retailers and consumers. 

NFDA chief executive Sue Robinson said: “As the automotive market continues to evolve rapidly, it’s essential that the UK’s ZEV mandate framework is grounded in the latest developments. We will engage in constructive dialogue with the Department for Transport in 2026 to ensure the ZEV mandate delivers.

“NFDA remains committed to working collaboratively with the Government to support a balanced transition to zero emission mobility that benefits businesses and consumers across the UK.” 

The NFDA letter

Dear Secretary of State,

ZEV Mandate and the future of EVs following the European Union’s target review

The National Franchised Dealers Association (NFDA) is the leading representative body for the UK’s automotive franchised retailers. There are over 4,500 franchised car and commercial vehicle retailers across the country, employing over 600,000 people working in the automotive sector.

We would like to thank you for engaging with the automotive sector over the ZEV mandate. It is important that policymakers, manufacturers, dealers and energy companies in the automotive industry work together to solve ongoing issues and drive-up Electric Vehicle (EV) adoption.

This is a crucial moment, as the European Union has recently announced changes to its own targets. We are concerned that manufacturers may start limiting vehicle supply to the UK to hit their ZEV Mandate targets, which would damage the retail automotive sector and the economy more widely. We are therefore asking that the government review the UK’s current ZEV targets.

The NFDA is committed to supporting both the drive to Net Zero and the government’s economic growth objective. However, we believe that in order to protect the UK’s automotive industry, including the franchised dealerships that we represent, we need to ensure that ZEV targets are realistic. The EU has changed its targets so that only 90% of new vehicles sold from 2035 onwards will need to be electric as opposed to the previous 100% target. We think the UK should bring its policy into line with the EU, the UK’s largest trading partner and whose manufacturers (OEMs) currently supply most of the vehicles sold in the UK. We are therefore asking that you remove the current 2030 deadline and revise the requirements of the 2035 deadline.

There is still a lot of work to do to instill consumer confidence in EVs. Range anxiety amongst would-be electric car buyers persists. While we were pleased to see additional funding allocated to improve charging infrastructure, rollout is still slow. Our dealers on the ground also report that the retail price of EVs is playing a major role in suppressing demand and lowering uptake. Additionally, we are concerned that the recent introduction of E-VED will disincetivise EV uptake further.
Road transport remains by far the most important transport mode to generate growth in the British economy. If you would like further briefing about the challenges facing automotive retail, please get intouch with my policy Officers, Zachary Moodie or James Price

Yours sincerely,

Sue Robinson, NFDA chief executive

The letter can be downloaded here