Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government what steps they are taking to ensure a zero emission vehicle mandate could be implemented with enough time to incentivise investment in zero emission vehicles and the charging industry before 2030.
The Government had already committed £1.5 billion to support the early market and remove barriers to ZEV ownership. Alongside the new phase out dates for new petrol and diesel cars and vans, we have pledged a further £2.8 billion package of measures to support industry and consumers to make the switch to cleaner vehicles. These ambitions will include up to £1 billion to support the electrification of UK vehicles and their supply chains, £1.3 billion to accelerate the roll out of charging infrastructure and £582 million for plug in vehicle grants.
The March 2020 Budget included the extension of favourable benefit in kind tax rates for zero emission vehicles out to 2025: company car tax is 1% in 2021/22 and 2% in 2022/23 through to 2024/25; and all zero emission cars are exempt from vehicle excise duty (VED)
We are currently consulting on the proposed regulatory framework for the UK with regard to all newly sold road vehicles which includes the option for a ZEV mandate. The consultation closes on 22 September.