1. Outline
This is a letter from Nigel Topping CMG, Chair of the CCC, to Rt Hon Heidi Alexander MP, Secretary of State for Transport.
This letter sets out the Committee’s response to a request for advice from Ministers of the UK Government, Scottish Government, Welsh Government, and Department for Infrastructure for Northern Ireland, regarding regulations to amend the Vehicle Emissions Trading Schemes Order 2023 (the VETS Order). This builds on advice the Committee issued on 28 May 2025.
2. Key messages
- Market conditions are currently positive for the growth of battery electric vehicles (BEVs), and costs to consumers are falling. The VETS Order has been highly effective at supporting the market share of BEVs to increase from 16.5% of new car sales in 2023 to 21.9% in the year-to-date 2025.
- The Committee continue to assess the overall emissions impact of the amendments to be modest, while reiterating concern regarding aspects which could incentivise manufacturers to sell more hybrids and plug-in-hybrid vehicles at the expense of fully electric vehicles.
- The Committee advises the Department for Transport to closely monitor the market following the introduction of these amendments and take appropriate corrective action should such a risk materialise.
