The EU is taking steps to reduce the CO2 emissions, phasing in stricter CO2 emission standards for new passenger cars and light commercial vehicles from 2025.
The new rules will ensure that between 2025 and 2029, both cars and vans will be required to emit 15% less CO2. From 2030, new cars will emit on average 37.5% less CO2 and new vans will emit on average 31% less CO2 compared to 2021 levels.
The Parliament and the Council agreed on a mechanism to encourage the sale of more zero- and low-emission vehicles such as fully electric cars or plug-in hybrid vehicles. If a manufacturer meets certain benchmarks, it will be rewarded with less strict CO2 targets requiring a reduction of 35% for cars and 30% for vans by 2030.
In December 2018, the Department for Environment Food & Rural Affairs (DEFRA) published guidance confirming that the UK will be upholding environmental standards in the event of the UK leaving the EU with no-deal.