NFDA’S COMMERCIAL VEHICLE DEALER MEMBERS SUPPORT CALLS FOR SHORT ZEV MANDATE MORATORIUM IN VAN MARKET
NFDA 03/01/2025
“NFDA’s commercial vehicle dealer members support van manufacturers in calling for a short moratorium of the ZEV mandate and welcome the inclusion of a section for vans in the consultation launched last week by the Government” commented Sue Robinson, Chief Executive of the National Franchised Dealers Association (NFDA) which represents car and commercial retailers across the UK.
NFDA’s commercial vehicle (NFDA-CV) dealer members back van manufacturers who have called for a short-term moratorium of the Zero-Emissions Vehicle (ZEV) mandate and also welcome the Government’s announcement, on 24 December 2024, of a consultation seeking industry input on supporting the transition to zero emissions [1].
On the same day, the Government also launched a consultation seeking views on proposals to reduce regulatory burdens for businesses operating zero emission vans [2].
Sue Robinson added: “Year-to-date figures for 2024 reveal that electric vans account for just 5.8% of the market share, a decline of -0.1% compared to the same period in 2023, and well below the 10% target set by the mandate. This is particularly concerning as fines for non-compliant vans are set to double from £9,000 to £18,000 in 2025, alongside the mandate percentage increasing to 16%.
“Currently, diesel vans remain the preferred choice for most customers due to range, refuelling speed, payload capacity, and lower purchase costs. An often-overlooked aspect of van usage is that many vans are assigned to employees who take them home overnight to ensure they are ready for 24/7 call-out services. Many of these employees live in apartments or flats where home charging is not an option. Additionally, on-street charging is typically designed for cars and is often inadequate for the larger size of light commercial vehicles, which can be twice as long as a car.
“The Government must prioritise incentivising van customers during the transition to electric, recognising that their needs differ from those of car buyers. If the Government continues to enforce unrealistic ZEV targets and penalties for vans, manufacturers will reduce the supply of diesel light commercials, which will harm the UK economy. This could also lead to the unintended consequence of older, polluting vans being repeatedly repaired to stay on the roads, further damaging air quality.
“Van dealers have invested heavily and are committed to the transition but emphasise that this needs to be gradual and orderly. NFDA-CV strongly supports a short-term reassessment of ZEV targets until customer demand and van charging infrastructure meet the Government’s expectations. Such an approach would facilitate a balanced and sustainable shift to zero emissions.”
About the RMI
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.