In a press release, The Society of Motor Manufacturers & Traders (SMMT) congratulates the Labour Party on their electoral victory and calls for a “bold plan” to make zero emission mobility possible for everyone.
“We look forward to working with the new government to implement its proposals which come at a pivotal moment for our industry,” says Mike Hawes, SMMT Chief Executive.
“The next five years will be decisive, with a once-in-a-generation switch to zero emission vehicles alongside the rise of connected and automated vehicles – all against a backdrop of rising global competition as countries seek to put their own automotive markets and manufacturing ahead of the game,” he adds.
In this context, the association recognises the crucial need for policy formulation supporting the sector “more than ever.”
The role of the automotive sector as a driver of economic growth in the region is evident.
Such companies employ 800,000 people in well-paid and rewarding jobs across the country.
“We remain Britain’s largest export sector and we are essential to the nation’s decarbonisation goals,” acknowledges Hawes.
As outlined in SMMT’s Vision 2035, the right policies in the upcoming parliament will be those providing a globally competitive industrial strategy, affordable and sustainable energy, a mass market for electric vehicles (EVs), strong free trade relationships, and a skilled future workforce.
Indeed, the region has the potential to manufacture over a million of the greenest models each year by 2035, “provided investment can be sustained through increased competitiveness.”
“With the global industry shifting towards EV production and manufacturers tending to locate near where their products are sold, the new government must create conditions for mass adoption of EVs in Britain,” indicates Hawes.
Recent SMMT data on the automotive market show the region in an increasingly strong position to achieve this growth, with overall demand for new cars surpassing a million at mid-year for the first time since 2019 and electric car adoption rising to a 19% market share in the month.
“Despite this, there is still much to do. Accelerating EV adoption requires a bold plan to make zero emission mobility possible for everyone, with incentives for EV purchases, fairer VAT on public charging and infrastructure that’s rolled out in every part the country, ahead of need,” states Hawes.
A plan for decarbonising light and heavy commercial vehicles, buses, coaches and minibuses – along with a dedicated infrastructure strategy – is also essential to keep Britain’s businesses, services and public transport on the move.
“Automotive manufacturers have invested vast amounts in the net zero emission transition over the past decade and while the commitments of 2023 were a massive vote of confidence, we must move even faster in the next five years,” he indicates.
“We now look to continue our productive partnership with government to ensure the long term success of the sector and all those who depend on us for their mobility, services and livelihoods,” he adds.
