The European Commission has proposed an amendment that will provide greater flexibility for car manufacturers in achieving their emissions targets in the period 2025–2027.

Instead of having to meet the standards annually, manufacturers will be given three years to meet the CO₂ targets on average. The European Automobile Manufacturers' Federation (ACEA) has welcomed the proposal as it gives the industry more breathing space.  The move is avoid job losses and to safeguard the competitiveness of the sector.

The EC proposal has been submitted to the Council of the EU and the European Parliament, which will now each determine their positions and reach a political agreement.

In a similar move the UK government has announced greater flexibility on annual targets for the introduction of electric cars and vans and said that manufacturers will face lower fines for vehicles sold that don’t comply. This is in response to the tariffs imposed by the US government on vehicle imports.

A consultation on the government's EV target changes ended in mid-February, but Transport Secretary Heidi Alexander said that the government had sped up the process of introducing them in response to the tariffs.

Meanwhile, a ban on the sale of hybrid vehicles - which combines a petrol or diesel-powered engine with an electric motor - has been confirmed as from 2035. Smaller British firms like Aston Martin and McLaren will be allowed to keep selling petrol cars beyond the 2030 deadline. As part of the changes, the car industry will also be given £2.3bn in tax breaks.

Logistics UK welcomed the changes but said they do not address the practicalities of incorporating electric vans into commercial fleets.

 Deputy Director – Policy, Michelle Gardner, commented: “The sector is fully committed to decarbonisation, but commercial vehicles are acquired and used very differently to cars, and zero tailpipe emission vehicles must make commercial and operational sense before businesses can incorporate them into fleets. There are still significant barriers preventing more widespread adoption, and our members cite increased vehicle costs, lack of usable public charging, the time and cost of installing infrastructure at depots and higher regulatory burdens.”