Britain is weighing a major update to its green policy by potentially weakening the Zero Emission Vehicle mandate, possibly lowering the 2030 target for EVs from 80% to somewhere between 50% and 70%, with a consultation to follow.

Prime Ministerial ally and Labour leadership figures are debating easing the 2030 EV target as part of a broader shift in the party's net-zero strategy.

Keir Starmer is reportedly considering adopting a softer stance on EV sales targets, aligning with business-minded discussions on reforming the policy.

Industry argues the existing mandate has driven costly discounts and investment in EVs, warning of potential factory closures and job losses if targets stay unchanged.

Business groups note the high cost of incentives tied to the quotas and warn that relief from the mandate is crucial for jobs, investment, and the viability of UK manufacturers.

The penalties under the ZEV mandate remain; fines can reach up to £15,000 per non-compliant car, with a credit-trading option, and no changes are expected to this mechanism.

The UK automotive sector contributes about £25 billion annually and supports around 183,000 direct jobs plus 600,000 in the supply chain.

Unite argues the policy is driving automotive job losses and calls for significantly reduced targets to safeguard the sector.

Energy Secretary Ed Miliband has championed a rapid EV transition, while Unite warns the policy harms jobs and pushes for substantial reductions in targets.

Charging infrastructure and vehicle range remain key barriers to EV adoption, though industry groups view the mandate as essential to spurring investment in charging networks.

Labour MPs note manufacturers are spending billions subsidising EV sales to meet targets, suggesting a European-style shift toward broader carbon goals and more hybrids or conventional vehicles beyond 2030.

The plan would still retain the 2030 ban on new purely petrol or diesel cars, with an expected 2035 phase-out for new hybrids.