NFDA SUBMITS RESPONSE TO GOVERNMENT CONSULTATION SEEKING VIEWS ON PROPOSALS TO SUPPORT UK’S TRANSITION TO ZERO EMISSION VEHICLES

"NFDA has submitted its response to the Government consultation on proposals to support the UK's transition to zero-emission vehicles, incorporating feedback and insights from its members" said Sue Robinson, Chief Executive of the National Franchised Dealers Association (NFDA).

On 13 February 2025, NFDA submitted its response to the Government consultation seeking views on proposals to support the UK’s transition to zero emission vehicles, ahead of the consultation deadline on 18 February 2025 [1].

Launched on Christmas Eve 2024, the consultation is divided into two parts: Part 1 focuses on phasing out sales of new petrol and diesel cars from 2030 and supporting the transition to zero-emission vehicles, while Part 2 covers the Zero-Emission Vehicle (ZEV) Mandate. 

Throughout the eight-week consultation period, NFDA gathered members' feedback and insights, including through its 2025 Outlook Survey [2].

In its submission, NFDA emphasised that dealers are fully committed to the transition to electric vehicles, with members highlighting the vital role hybrids can play in bridging the gap between 2030 and 2035. NFDA also stressed the importance of distinguishing between cars and commercial vehicles, noting that trucks and vans, which are essential for businesses, require a different approach.

NFDA’s response underscores that current measures to support the demand for ZEVs in the UK are inadequate and require significant enhancement to unlock their full potential, these include through:

• Direct fiscal incentives
• Infrastructure
• Grid connection
• Public awareness campaigns

The automotive retail sector plays a vital role in driving the UK's growth and productivity, contributing to both commercial and social mobility, with over 4,500 franchised dealerships and more than 540,000 people employed in the sector. Furthermore, in 2024, there were 1.953 million new UK car registrations alone in 2024, which at an average price of £35,000 per unit accounts for more than £68 billion in UK sales, of which approximately half are retail sales. These figures demonstrate that automotive retail remains a cornerstone of the UK economy.

Robinson added “A key focus of NFDA’s response is the urgent need for incentives, emphasising that stimulating consumer demand is crucial for driving market growth. The Government must also consider the differing needs of car and van buyers.

"Importantly, the new car market has experienced four consecutive months of decline, with the new light commercial vehicle market also facing downturns. As of January 2025, battery electric vehicles hold a market share of 21.3% for new cars and 7.6% for new vans [3].

"With the ZEV mandate quota rising to 28% for new cars and 16% for new vans in 2025, alongside fines increasing from £9,000 to £18,000 for non-compliant vans, it is crucial that the Government urgently addresses the concerns raised by the wider industry.

"NFDA has lobbied repeatedly on the ZEV mandate, both before and after its implementation. This has included hosting the Future of Roads Minister, Lilian Greenwood MP, at NFDA’s Parliamentary Dinner, and sending letters to the Business Secretary and Transport Secretary.

"NFDA members remain fully committed to the transition to electric vehicles. We look forward to the Government’s response and will continue to lobby on the matter in the meantime."

[1] Phasing out sales of new petrol and diesel cars from 2030 and supporting the ZEV transition - GOV.UK

[2] For the full survey, please contact below.

[3] Registrations Archives - SMMT