Transport Secretary Heidi Alexander has commissioned an examination of support mechanisms for car manufacturers struggling to meet Britain’s electric vehicle transition deadlines, following warnings from dozens of Labour MPs about potential employment losses in the motoring sector.
The review will commence within the next fortnight, with findings expected by spring 2027, sources close to Ms Alexander confirmed on Sunday. The assessment follows revelations that up to 40 Labour backbenchers—representing more than one in ten of the party’s parliamentary representation—have written to ministers expressing alarm over the policy’s impact on constituency workforces.
Steve Yemm, Labour MP for Mansfield, disclosed the scale of parliamentary concern during an appearance on Chopper’s Political Podcast on Friday, describing “real unanimity” amongst colleagues who have engaged with both workers and management about the targets.
“Some of us are really concerned because we meet with workers, we meet with management and we hear the same thing,” Mr Yemm stated, adding that he personally raised concerns with the Transport Secretary during a Wednesday meeting last week.
Britain’s existing policy prohibits new petrol and diesel vehicle sales from 2030, with all new cars required to produce zero emissions by 2035. Government sources insisted these deadlines will not be diluted, though the review may introduce “extra flexibilities” assisting manufacturers in meeting mandated timelines.
A source close to Ms Alexander emphasised a 2027 assessment had always been scheduled, stating: “We were always reviewing it in 2027, that’s long been the commitment.”
Motor manufacturers have been forced to heavily discount electric vehicle sales to achieve progressively increasing EV sale proportions mandated under current regulations, raising concerns about commercial sustainability.
However, mandate supporters argue recent developments have bolstered the policy’s viability. Since Iran conflict-driven fuel price volatility commenced, February witnessed a notable surge in electric vehicle purchases, according to industry data.
A Department for Transport spokesman defended the transition framework, stating: “It has never been easier or cheaper to own an EV, especially against the backdrop of high and fluctuating prices at the pumps. One in four cars sold now is electric.”
The spokesman added that manufacturers remain “on track to meet the mandate” following government introduction of compliance flexibilities last year, enabling firms to satisfy requirements through multiple pathways beyond pure zero-emission vehicle sales.
Treasury investment exceeding £7.5 billion has been allocated towards electric vehicle manufacturing support, whilst the Electric Car Grant scheme has assisted over 80,000 consumers purchasing new EVs to date, officials confirmed.
