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Changes in the UK auto industry for 2024: what you NEED to know

By Mathilda Bartholomew | September 23, 2024

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2024 has brought major changes to the automotive industry, and there are rumours of even more coming soon

Changes in the UK auto industry for 2024: what you NEED to know

2024 has seen big changes for the automotive industry and there are still rumoured to be more changes on the horizon. Here’s a rundown of what new legislation has already been introduced and what you can expect to see later in the year.

1. More Electric Cars or Pay Up

Starting January 1, 2024, UK car manufacturers must ensure that at least 22% of their car sales and 10% of their van sales are fully electric. This is part of the Zero Emission Vehicle (ZEV) mandate aimed at boosting electric vehicle sales and reducing emissions. By 2030, the goal is for 80% of cars sold to be electric, with a complete ban on petrol and diesel cars by 2035.

If carmakers miss these targets in 2024, they’ll face fines of £15,000 per car and £9,000 per van. So, expect more electric options and better deals as companies work to entice buyers.

2. Sale of New Diesel and Petrol Cars Banned From 2030 But Hybrids Allowed Until 2035

Labour has confirmed the reinstatement of the 2030 ban on the sale of petrol and diesel-only cars, undoing last year’s delay to 2035. However, hybrid vehicles can still be sold until 2035. This decision brings the UK back in line with its 2020 plan, while other European countries like France, Italy, and Spain will allow both internal combustion engine (ICE) and hybrid cars to be sold until 2035.

3. Changes to the Driving Test Eyesight Requirement

The DVSA is looking to update the eyesight test during driving exams. Currently, passing means being able to read a number plate from 20 meters away. They’re consulting with experts to make this test more flexible and evaluate eyesight in different lighting conditions, which could change how future driving tests are conducted.

4. Glasgow Introduces Pavement Parking Ban

Glasgow’s new pavement parking ban was introduced this September, following in the footsteps of Aberdeen and Edinburgh, which already have similar restrictions to improve pedestrian safety.

Scotland passed this law last year, while Wales is considering a similar measure and England has yet to decide after a 2022 review. With increasing public pressure since early 2024, there is growing speculation that the Labour government may introduce a nationwide ban, addressing concerns about the impact of pavement parking on people with mobility or vision issues.

5. Mandatory Speed Limiters

From July, a new EU law requires all new cars and vans sold to have speed limiters that automatically reduce speed if the limit is exceeded. While drivers can temporarily override the limiter, it cannot be permanently disabled and reactivates with each trip. The law applies across Europe, including the UK.

Other News to Watch

- Stable Benefit in Kind (BiK) Rates: BiK rates, which affect how much tax you pay on company cars, will stay the same until the end of the financial year 2024-25.

- EV Tax Breaks: Electric vehicles will remain exempt from vehicle excise duty and congestion charges until 2025, making them a more appealing option.

- New Safety Rules for HGVs in London: From October 28, 2024, heavy goods vehicles over 12 tonnes in London will need a safety permit under the Direct Vision Standard (DVS), which rates how well drivers can see their surroundings. Vehicles must have a three-star rating or a safety system, with non-compliance resulting in a Penalty Charge Notice.

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