Ford, Toyota, Nissan get reprieve from UK plan to ban fossil fuel cars

Automakers including Nissan, Toyota and Ford will breathe a sigh of relief, for now, after the British government signaled that it will likely allow full hybrids to be sold for another five years after a ban on sales of new cars with gasoline and diesel engines.

UK Prime Minister Boris Johnson said on Tuesday that the government will bring forward a ban on new gasoline and diesel cars and vans to 2030 from 2035. He said the ban would come into effect five years later, in 2035, for hybrid cars and vans "that can drive a significant distance with no carbon coming out of the tailpipe."

This appeared to favor plug-in hybrids but not full-hybrid models, which cannot be plugged in to recharge the battery. This meant that full-hybrid cars built in the UK would be banned in 2030, not 2035. Toyota builds a full-hybrid Corolla in Burnaston, England, and Nissan will launch the Qashqai E-Power, produced in Sunderland, northeast England, next year.

On Thursday, the government's web site gave more details on the proposals that appeared to give a reprieve for full hybrids. "Between 2030 and 2035, new cars and vans can be sold if they have the capability to drive a significant distance with zero emissions (for example, plug-in hybrids or full hybrids), and this will be defined through consultation," the government said on its web site.

The government's Office of Low Emissions Vehicles (OLEV) did not respond to a request from Automotive News Europe to further clarify the rules.

Automakers have welcomed the government's commitment to reducing Britain's carbon emissions but they also warned that the transition to electric will require lots of government support.

Ford, the UK's largest automaker by sales, said in a statement: "We must ensure that any added cost to customers is lightened through a range of incentives to ensure that motoring remains affordable for the many rather than just the few."

Ford is ramping up its hybrid offering with a full-hybrid version of the Kuga compact crossover that goes on sale this week.

The company's statement said that a "range of technologies, including mild hybrids, hybrids and plug-in hybrids will still be required to increase the number of electric miles driven on the route to zero emissions."

The UK government's push to lower transport emissions included the offer 1.3 billion pounds ($1.7 million) to help increase the number of charge points. It also pledged 582 million pounds in grants for those buying zero or ultra-low emissions vehicles.

Also available will be further 500 million pounds to a fund that supports development of low carbon-emissions technologies, such as electric motors and batteries.

The government has already pledged one billion pounds to support the construction of a battery factory, a key piece of investment for the UK if it is to remain an important automotive production hub after the twin upheavals of the shift to electric and the country's exit from the European Union at the end of the year.

Nissan this week again repeated its warning that leaving the bloc's single market without a deal would make Sunderland unsustainable.

The UK government giving hybrids its blessing with an extra five years of sales will help Nissan but given that four out of every five cars from Sunderland are exported to the EU, a trade deal remains a bigger priority.