Carmakers could stop selling polluting vehicles in UK to meet CO2 targets

Carmakers that are in breach of their individual CO2 targets will pay a penalty of €95 (£83) for every gram over their assigned limit, multiplied by the number of cars sold that year according to European rules, with the UK set to adopt the EU’s scheme for fines after Brexit.

EU rules also state that average carbon dioxide emissions of almost all cars sold in 2020 and 2021 across the single market, including the UK, must fall below 95g per kilometre.

Average UK emissions were 127.9g per kilometre in 2019, the SMMT said, 35% above the 95g target for 2020 and 2021.

Carbon dioxide emissions of cars sold to British consumers rose for the third year in a row in 2019, making reaching carbon emission targets that much more challenging.

Carmakers may reduce sales of the most polluting models in order to meet the new targets.

Manufacturers could also choose to sell electric cars in the EU rather than the UK if they judge Europe to be a more important market after Brexit.

According to the Guardian, Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders (SMMT), said: “[Carmakers] will have to look at their model mix […] you’ve got to see whether that’s economic. The fines are going to be severe and all of them will do everything they can to avoid that.

“It could be that you see a reduction in consumer choice through the removal of higher-emitting vehicles from not just the top end, but particular segments.”

Al Bedwell, an analyst at car consultancy LMC Automotive, echoed that assessment, telling the newspaper that he expected some higher-polluting models to be withdrawn from sale across both the EU and the UK over the next two years.