The UK is considering a new compliance credit for electric cars and vans able to supply electricity to the grid or homes, potentially giving automakers another route under its zero-emission vehicle mandate.
The consultation by the Department for Transport (DfT) and the devolved administrations closed Friday, Oct. 23, 2026. It sought views on whether to create the credits and how they should work; it did not establish that they will be adopted or assign them a value. Responses may inform future changes to the mandate.
Draft eligibility criteria include a power-export feature enabled in the UK model, a minimum export capability, a compatible charger available in the UK and interoperable communications. The vehicle’s battery warranty would have to permit vehicle-to-grid (V2G) or vehicle-to-home (V2H) use. The governments are also asking whether drivers should be able to access the vehicle, charger and electricity tariff as a working package. They propose leaving vehicle-to-load capability, which supplies power to devices, outside the credit.
If adopted, the credit could give qualifying manufacturers another way to meet the mandate. Its current headline 2030 targets require zero-emission registrations to reach 80% for cars and 70% for vans. Manufacturers that miss their targets after exhausting other compliance routes face payments of £12,000 per car or £15,000 per van. The DfT says vehicle owners could receive payments when their stored power helps balance the electricity system.
The National Energy System Operator’s 2025 scenarios estimate that V2G could provide 1.2 gigawatts of peak demand flexibility in 2030 and 41 gigawatts in 2050 under its “Holistic Transition” pathway. These are scenario estimates, not guaranteed deployment levels.
The government has committed to publishing a mid-point review in early 2027. Consultation responses may inform future changes to the mandate.
