This report has 20 signatories, including manufacturers that represent 99.8% of the UK car and commercial vehicle parc, as well as those that supply the automotive industry and import vehicles for sale. All data presented is for UK operations only, unless explicitly stated otherwise.

A summary of some of the key takeaways can be found below.

VEHICLE MANUFACTURING

ENERGY USE

On average, the amount of energy required to manufacture a vehicle in the UK has been rising steadily since 2016. This trend is likely to continue with the roll-out of an increasing proportion of battery electric vehicles being manufactured in the coming years.

CO2 EMISSIONS

Despite the steady rise in the energy intensity of producing vehicles in recent years, manufacturers continue their longer-term trend of reducing both their overall and ‘per vehicle’ CO2 emissions, the latter now down -51.3% since 2001, through a reliance on renewable and lower-carbon energy sources.

ZERO EMISSION VEHICLES (ZEVs)

The UK automotive industry is committed to delivering the UK Government’s decarbonisation ambition and achieving net zero by 2050 and, with the right regulatory framework, flexibilities and support mechanisms, it can deliver a successful and competitive ZEV transition.

The Government’s ZEV mandate is due to come into force in January 2024 and will require each manufacturer, as a proportion of their overall new vehicle registrations, to meet rising targets each year for zero emission cars and vans. In 2024, this target is proposed to be 22% for cars and 10% for vans, rising to 100% by 2035.

SMMT’s own outlook for 2024 suggests that the overall market is on course to achieve the 2024 target, predicting a market share of 22.6% for BEV cars and 11.3% for BEV light commercial vehicles (LCVs). However, importantly, the mandate requires each individual brand – rather than the market as a whole – to deliver that proportion of vehicles. For many, this will require the use of proposed regulatory flexibilities or costly trading and compliance payments.

TAILPIPE CO2 EMISSIONS

The automotive industry understands the critical role it will play in decarbonising the road transport sector and enabling the UK’s transition to net zero, through its investments and innovations and the delivery of affordable zero emission vehicles across all transport sectors.

Extensive investment by manufacturers in advanced powertrains, lightweight materials and aerodynamics has reduced the average tailpipe CO2 emitted by new vehicles significantly since 2000. In 2022, the average CO2 emitted by new cars in 2022 was 111.4g/km, down -6.9% on the previous year.

Going forward, the ZEV Mandate, rather than CO2 regulation, will take over the primary role of bringing down average new car and van CO2 emissions in the UK. The ZEV Mandate will necessitate a rise in the proportion of new zero emission cars sold in the UK to 80% by 2030, with the subsequent 2035 end-of-sale deadline bringing down tailpipe CO2 emissions to zero by the end of this period.

Download the full 2022 Sustainability Summary Report HERE.