What does the 2030 Petrol and Diesel Ban mean for your business?

What is the 2030 Petrol and Diesel Ban and how will it affect your fleet?

From 2030, the sale of all new petrol and diesel cars and vans will be banned

The ban on the sale of all internal combustion engine (ICE) vehicles from 2030 was announced back in 2020, and wasn’t unexpected – though it is coming around sooner than many people thought it would.

The government is working towards the country becoming net-zero carbon by the middle of the century, and reducing the number of fossil fuel burning cars and vans on our roads is one step towards this aim.

2030 might not seem that far away, but compared to countries like Norway, who are bringing in a ban by 2025, we in the UK still have some time to get used to the idea.

What is the 2030 Petrol and Diesel Ban?

The 2030 ban is what it says on the tin – an almost total ban on the sale of all new petrol or diesel vans and cars, including some hybrids.

You might have heard of the term ‘Green Industrial Revolution’ being bandied around for a while, and it’s an idea that forms the centre of the ban.

It’s the Conservative government’s 10-point plan that has been developed to reduce carbon emissions and tackle the ongoing climate crisis, and includes steps like advancing offshore wind, delivering new and advanced nuclear power, pushing green public transport, and investing in carbon capture, usage and storage.

The government hopes that not only will this plan create new jobs in new industries, but will also cut emissions without having too much impact on people’s day-to-day lives.

How will the petrol and diesel ban affect your business?

The ban means that, after 2030, any new vehicles your business leases or buys will have to be electric or plug-in hybrid (PHEV). 

This brings with it a whole host of other considerations, including which electric cars are going to be right for your business based on price and range, whether you’ll need to install charging points for office use, and the overall cost of electrifying your fleet.

But there are no two ways about it: when the ban is in place, any new fleet cars will have to be either a plug-in hybrid or pure electric.

And the sooner you start thinking about it, the easier it will be to spread the cost of electrification and be able to benefit from the government grants and incentives already in place, like the £582 million the government has set aside to help businesses into EVs and PHEVs.

Fleet electrification

Electrification is the process of replacing tech that uses fossil fuels with those that use electricity.

With the 2030 ban looming, there’s no better time to start thinking about transitioning your fleet from mainly ICE vehicles to mainly EVs.

You might even have already started the process, and know how many pitfalls there can be along the way when it comes to picking the right vehicles with the right range, making sure your employees can charge their cars easily, getting everyone on board, ensuring business continuity… The list goes on.

An unprecedented combination of sustainability goals, cost savings and government regulations make this the perfect time for fleets to start electrifying, with the aim of being fully electric by the time the ban comes to fruition so you’re not chasing your tail trying to catch up. 

And with electric fleets offering a multitude of benefits, including lower total cost of ownership, reducing your environmental impact and supporting your corporate commitments to sustainability, it’s worth seriously looking into electrification.

The benefits of an electric salary sacrifice scheme

The benefits of an electric salary sacrifice scheme are numerous to both you and your employees.

Not only is it an attractive incentive to retain your top talent, but it also goes a long way in helping you hit your sustainability goals and reduce your carbon footprint. And, best of all, it doesn’t require a huge initial investment, and could even net you some significant monthly National Insurance savings.

Essentially, a salary sacrifice scheme allows your employees to lease a cost-effective electric car through the company for a smaller monthly payment than if they took out the same lease deal privately.

It also puts safety at the forefront, with EVs tending to work out safer than their ICE counterparts. You’ll reduce the risks associated with grey fleets too, when you generally don’t have a say in what cars your employees are driving.

Offering an electric car salary sacrifice scheme can put your business ahead of the curve, making you look forward-thinking and ready for the future.