Vauxhall owner Stellantis may stop sales of new petrol and diesel cars this year

Vauxhall owner Stellantis may have to stop sales of petrol and diesel models later this year in order to meet the government’s strict zero-emission vehicle (ZEV) mandate.

Speaking to Car Dealer Magazine, Stellantis’s UK group managing director, Maria Grazia Davino, said the carmaker would not pay punitive fines for failing to meet the mandate, which would therefore mean taking petrol and diesel models off sale.

Not only would British brand Vauxhall be affected, but the axe would fall on petrol and diesel models from other marques within the Stellantis empire, including Peugeot and Alfa Romeo.

The government’s ZEV mandate requires 22% of a manufacturer’s new vehicle sales this year to be EVs. Failure to meet this will mean a £15,000 penalty on every non-electric car and £18,000 per non-electric van.

Current legislation sees the threshold rising to 28% next year, 33% in 2026, 38% in 2027, 52% in 2028, 66% in 2029 and 80% in 2035.

In May, the Society of Motor Manufacturers and Traders said carmakers were not on course to meet the targets.

Maria Grazia Davino told Car Dealer Magazine that it was “trying not to” restrict sales of petrol and diesel models, and was “trying to protect” customer cars.

“But this will be an immediate consequence,” she added. “I dream of a situation where we have the fullest elasticity.

“Fines are not an option for me and that’s the reason [to reduce ICE volume]. We can’t be fined, it’s not ethical and it’s not the way we are set up. We will not pay fines.”

Along with Vauxhall, Peugeot and Alfa Romeo, Stellantis operates the Citroen, Fiat, Jeep, Abarth and DS Automobiles brands in the UK.

The Stellantis UK chief’s words echo earlier sentiments expressed by former Ford of Europe executive Martin Sander, who said the Blue Oval might have to restrict new petrol cars in the UK to boost sales of new EVs.