The Secretary of State for Transport (Chris Grayling)

Today I am publishing the Government’s zero emission road transport strategy “Road to Zero”. The transition to zero emission road transport is happening now across the world. It will mean fundamental changes to the global automotive market, worth over £1.5 trillion a year, bringing new jobs and growth opportunities for the UK. These include those we are already enjoying through Nissan in Sunderland, producing one in eight zero emission cars bought in Europe in 2017, and the London Electric Vehicle Company near Coventry, which put the world’s first electric black taxis on the streets of London earlier this year.

This Government’s vision is to build a Britain that is fit for the future. Leading the industries of the future and building the UK’s competitiveness in the face of major global economic trends are key parts of our industrial strategy. That is why our 2040 mission to put the UK at the forefront of the design and manufacturing of zero emission vehicles is central to the future of mobility and clean growth industrial strategy grand challenges.

The benefits are not just economic. Road transport is one of the biggest contributors to poor air quality in some of the UK’s towns and cities. And transport is the largest greenhouse gas-emitting sector in the UK. The work we are doing today to make road transport cleaner will mean we are handing the next generation a better, cleaner, greener Britain. It will improve the health and lives of people across the UK. It will help us achieve our statutory long-term greenhouse gas targets and our air quality commitments.

As set out in the Government’s N0 2 plan, we will end the sale of new conventional petrol and diesel cars and vans by 2040. By then, we expect the majority of new cars and vans sold to be 100% zero emission and all new cars and vans to have significant zero emission capability. By 2050 we want almost every car and van to be zero emission. We expect this transition to be industry and consumer led, supported in the coming years by the measures set out in this strategy. We will review progress by 2025 and consider what interventions are required if not enough progress is being made.

In our automotive sector deal, we made major new commitments to research and development in zero emission vehicle technology, and to developing competitive UK supply chains. This included the £246 million Faraday battery challenge, which is already supporting the development of battery technology in the UK. We will continue to support our established multi-million pound research and development programme for ultra low emission vehicles, which has been estimated to have a rate of return of £8 for every £1 invested.

More models are coming to market, giving consumers greater choice. Battery prices are coming down and we are committed to keeping in place our plug-in car and van grants until at least 2020. The tax system also favours ultra low and particularly zero emission vehicles over conventional ones. The strategy recognises that consumer incentives in some form will continue to play a role in driving uptake beyond 2020. And with industry we are launching the 2018-19 Go Ultra Low consumer campaign to promote the benefits of these vehicles and improve understanding of the choices available. Government will lead consumer uptake with 100% of central Government car fleets being ultra low emission by 2030.

However, it’s important to recognise that today over 99% of global car and van sales are petrol or diesel. Our strategy sets out how we will reduce emissions from the vehicles on our roads now and during the transition to zero emission vehicles. We will do this by increasing the supply and sustainability of low carbon fuels, accelerating the adoption of fuel efficient motoring and ensuring that our future approach to vehicle emissions regulation as we leave the European Union is at least as ambitious as current arrangements.

Cleaner diesel vehicles can play an important part in reducing CO 2 emissions from road transport during the transition to zero emission vehicles whilst meeting ever more stringent air quality standards. For diesel vehicles to play their part fully, their air quality impact must continue to be reduced. We welcome the continued innovation and investment by vehicle manufacturers to develop cleaner diesel vehicles that meet the more challenging real driving emissions (RDE) requirements, delivering critical improvements in NOx emissions on our roads.

In addition to working in Europe to set ambitious new EU CO 2 emissions standards for HGVs, we also recognise the need to reduce emissions from existing HGVs significantly. Working in partnership with industry leaders, the Government are also announcing a new industry-wide voluntary commitment for reducing HGV greenhouse gas emissions by 15% by 2025.

The strategy also sets out the results of our assessment of the environmental performance of the road vehicle fuels and technologies available to consumers. It is clear that zero emission vehicle options deliver the greatest environmental benefits regardless of vehicle type or use.

In the transition to zero emission vehicles, clear and consistent consumer information will be essential. We will set up a road transport emissions advice group to bring together Government, industry and consumer groups to work together to meet this challenge.

We cannot deliver this strategy alone. We are committed to working in partnership with industry, businesses, academia, environmental groups and others. That includes the devolved Administrations of Wales, Scotland and Northern Ireland, who are taking significant steps to accelerate the transition. This is a UK-wide strategy and our core package of vehicle and chargepoint grants applies across the UK. We are working with local areas. We are also playing a leading role internationally, bringing together the international community in September’s groundbreaking zero emission vehicle summit.

By putting the UK at the forefront of the twenty-first century transport revolution, we can ensure our automotive sector—one of our greatest success stories—continues to thrive and create good jobs across the country. We can set a global standard for managing technological change to maximise economic and environmental benefits. We will work with industry to achieve this ambition, and share the benefits this opportunity presents. Helping us achieve our goals of cleaner air, a better environment, zero emission vehicles, a strong clean economy.

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