Now’s the Moment for Bold Policy—Not Flexibility or Delay

The Climate Change Committee (CCC) has today published its first assessment of the new Labour Government’s progress on reducing emissions. The independent statutory body reports that, while government policies have improved over the past year, further urgent action is still required. With stronger measures, the UK can not only achieve its legally binding climate targets but also boost energy security for homes and businesses nationwide.

Anna Krajinska, UK Director T&E said, ‘The UK’s transport sector is at a crossroads. To keep net-zero targets within reach, we need immediate action: maintain the ZEV mandate, set a clear path to phase out diesel HGVs, and accelerate investment in sustainable aviation fuels. This must be coupled with comprehensive pricing for fossil fuel use in shipping and aviation to drive forward the switch to clean alternatives.Now is the time for bold policy, not more flexibilities or delays’

For cars, with flexibilities on the rise, CCC reports that the ZEV mandate risks shifting from ‘slightly off track’ to ‘significantly off track’—if carmakers exploit flexibilities. T&E’s analysis shows that the recent changes risk a cliff edge in 2030 with carmakers potentially having to sell an impossible over 100% ZEV to make up for excessive borrowing. To reduce this risk the government must ensure regulatory certainty and a robust industrial strategy to support domestic manufacturing and stay competitive.

T&E UK is also calling for urgent government action to complement new infrastructure investment. While the confirmation of 54 new zero-emission HGV charging hubs by Innovate UK is a positive step, the UK Government has still not established a clear regulatory mandate to drive the uptake of zero-emission heavy goods vehicles, and ensure the phase-out of diesel HGVs by 2040. Without a robust policy mechanism—such as a ZEV-HGV mandate—the UK risks falling short of its net-zero transport targets, leaving industry and investors without the certainty needed to accelerate the transition to cleaner freight

In aviation, according to the CCC, emissions now outpace the UK’s entire electricity sector. Without tougher policy and real investment in sustainable fuels, airport expansions and weak carbon pricing will put climate targets and industry leadership at real risk. The government should take urgent action to tackle non-CO₂ emissions as highlighted in the report and start properly charging for international aviation emissions.

The report highlights that in shipping recent IMO decisions on fuel standards and emissions pricing have improved shipping’s outlook for meeting climate targets. However, T&E’s analysis shows that the IMO regulation only covers 20% of UK emissions and further action by the UK government is needed to meet climate targets. This should include the expansion of the UK Emission Trading Scheme to include international shipping.