Full PR response here: www.transportenvironment.org/te-united-ki...

🚨 To make the PPM policy fair it is crucial that the government taxes PHEVs based on their real world emissions not unrealistic theoretical numbers. Otherwise the Government risks another dieselgate style scandal.

#AutumnBudget hashtag#ElectricVehicles hashtag#PayPerMile

❌ However, reduced rates for polluting plug-in hybrids in the pay per mile policy compared to zero emission electrics is deeply flawed. PHEV Real-world emissions are 5x higher than official figures, which risks undermining the policy’s environmental goals.

✅ The Chancellor’s move towards a pay-per-mile system reflects the need for a fair, sustainable approach as traditional fuel duty revenues decline. Reversing the fuel duty freeze and lowering charging costs is also the right decision to support drivers going electric.

➡️ £1.3bn extra for EV car grant, bringing total funding to £2 billion
➡️ 100% business rates relief for EV charge points for the next decade

🔍 Road Transport Facts at a glance:

➡️ New ‘pay-per-mile’ electric vehicle excise duty: 3p per mile for BEVs and 1.5p for PHEVs from April 2028
➡️ Reversing the fuel duty freeze from September 2026

Full Briefing Link: www.transportenvironment.org/te-united-ki...

PHEV taxation should be reformed to account for the 5 times higher real world emissions which risk undermining BEV sales and misleading consumers and an effective industrial strategy is needed to anchor EV and battery manufacturing and the lucrative supply chain in the UK.

To allow UK carmakers to lead as global markets go electric, keeping the 2030 ZEV mandate target and 2035 phase out date are crucial for investment certainty since the ZEV mandate is 1st and foremost an industrial policy crucial for the success of the UK automotive sector.

One message stands out: bold action and smart timing on EVs can build market leaders and shape new consumer expectations.

However, with new models set to arrive in 2026 and 2027—including the Mirca, Leaf, and Juke—Nissan could quickly regain momentum and get back on track with the ZEV mandate.

Nissan struggled with its transition in 2024 and 2025, as UK electric sales fell from 12% to 4% due to delayed model updates. The company left long gaps between retiring old EVs and launching new ones, leaving only the Ariya on sale in 2025.

Renault’s success is similar: last month, half of its UK sales were fully electric thanks to the success of the affordable and attractive EVs R5, hitting the market and winning over drivers.

Early investment in EVs helped Mini capture market share in the growing EV market. EVs are a large growth opportunity compared to the largely stagnant combustion engine market.

The switch to EVs offers carmakers the opportunity to rapidly grow their market share with the right transition strategy.

Mini’s electric models illustrate this well. Since launching its first EV in 2020, electric Minis now make up 1 in 5 sales in their class, compared to 1 in 17 petrol.

Just look at October: electric cars surged to make up 26% of new sales, proving that change is happening on the ground, not just in Westminster.

T&E UK’s latest briefing shows:

The UK’s Zero Emission Vehicle (ZEV) mandate isn’t just a climate policy, it's behind some of the most compelling industrial success stories in today’s auto industry.

Report: 'Charging Lottery' www.transportenvironment.org/te-united-ki...