British Prime Minister Rishi Sunak has announced his government will back down from plans to ban all petrol and diesel-powered cars in the UK by 2030. Instead, that goal has been shifted to 2035, giving the car industry and consumers more time to make the shift.
The news is likely to have a material impact on the Australian industry too, as the UK is one of the world’s largest right-hand drive markets, so it will likely mean more petrol and diesel models until at least the middle of the next decade.
The announcement was a long time coming, with rumours of the move dating back months due to the current cost-of-living pressures around the world. In announcing the change, Sunak said that now is “not right to impose more costs on working people.”
Despite this dramatic change of policy, the British leader is confident that the country will still have widespread adoption by the end of this decade anyway.
“I expect by 2030 the vast majority of cars sold will be electric, because the costs are reducing, the range is improving, the charging infrastructure is growing,” Sunak said. “I also think, at least for now, it should be you that makes that choice, not the government forcing you to do it. Because the upfront cost is high. We’ve got further to go to get the charging infrastructure in place.
“So to give us more time to prepare we’re going to ease the transition to electric vehicles. You’ll still be able to buy a combustion engined vehicle until 2035.”
The news wasn’t universally welcomed though, with Ford leading the manufacturers who criticised the delay. The American company has reportedly invested more than $800 million updating its UK facilities in order to meet the original 2030 requirements, an investment that is now compromised by the significant delay.
“The UK 2030 target is a vital catalyst to accelerate Ford into a cleaner future,” said Ford UK chair, Lisa Brankin, in a public statement.
“Our business needs three things from the UK government: ambition, commitment and consistency. A relaxation of 2030 would undermine all three.”
Brankin said car makers, such as Ford, need the support of the government in order to successfully and easily transition to an all-electric future, saying: “We need the policy focus trained on bolstering the EV market in the short term and supporting consumers while headwinds are strong: infrastructure remains immature, tariffs loom and cost-of-living is high.”
The move will likely force a re-think for many British car makers, which includes local brands such as Land Rover, Jaguar and Mini as well as Nissan.
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