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Government launches review into ZEV Mandate

Official consultation could potentially scale back EV sales targets up to 2035

Electric cars waiting to charge

The UK Government has officially launched a review into the Zero-Emission Vehicle (ZEV) Mandate, which will decide if it should scale back its electric car sales targets from 2027-2035.

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Announced today (14 August), the review will consult car manufacturers, the wider automotive industry and consumers on whether it should reduce the proportion of EV sales that vehicle manufacturers need to produce between 2027 and 2035.

The Government has said it will remain “pro-business and grounded in the real world” when considering changes to the targets. The review will last for 10 weeks until 23 October 2026, during which time manufacturers, suppliers, charge point operators, dealers, consumers and communities are invited to share their views on how the UK will achieve its target of phasing out combustion vehicles.

This comes as EV sales now account for more than one in four new cars on the road, with more than two million now registered in the UK. Last month, sales of electric cars were up by 45% compared with 2025.

Eleanor Cooper

Updated: 14 August 2026

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The Government puts this growth down partially to the introduction of the Electric Car Grant, which, it claims, has allowed more than 160,000 drivers to save up to £3750 on the list price of a new EV. However, No. 10 has said it will review the ZEV targets in light of the “challenging and complex global economic conditions” currently affecting UK supply chains and businesses.

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Transport Secretary Heidi Alexander said: “The UK EV market is strong – sales are up, British manufacturers and charge point operators are investing billions, alongside our backing of £7.5 billion, including our Electric Car Grant that has helped over 160,000 people make the switch.

“It’s right we keep targets under review to ensure they’re practical and back British industry. The end goal hasn’t changed – but we need to take business with us on the journey and that’s exactly what we’re doing today by making sure industry has the chance to shape how we get there.”

Electric cars driving during summer range test

It’s unclear what changes, if any at all, will come from the review. However, it’s a decision that comes as EV sales continue to fall behind targets with seemingly no sign of accelerating. At the end of 2025, electric car sales should have accounted for 28% of the market, but they ended with just 23.4%, according to figures from the Society of Motor Manufacturers and Traders (SMMT). Currently, they account for 25.3%, showing positive progress, but still lagging behind the 33% target set out for 2026.

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Mike Hawes, SMMT Chief Executive, said: “We welcome government's consultation on the ZEV Mandate and how it should change to better support the UK’s transition. Industry remains fully committed to a zero-emission future, investing billions in new technologies, products and, along with government, consumer incentives. The regulation was conceived, however, under very different conditions – cheaper energy, rapidly declining production costs, and more optimistic global demand expectations.

"Regulatory targets are now running ahead of current consumer demand, so this review is a timely opportunity to optimise the pace of change. This is a regulation that increasingly dictates consumer choice – and therefore automotive companies’ future strategies and viability – so it must work for all involved. That means a commercially sustainable transition that supports UK competitiveness, investment and jobs while delivering greater choice and affordability for motorists – with a rapid resolution needed to unlock those benefits for everyone.”

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Earlier this week, the Government announced a £130 million investment into the development of electric car and autonomous vehicle technology in an effort to ramp up the transition to electrification. It will be funded equally by the state and automotive industry, and is expected to support more than 1800 jobs across the UK.

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