As summer ends and the party conference season gets underway, attention is turning to the Autumn Budget to bring further clarity on the UK’s Industrial Strategy and net zero ambitions. As the latest edition of CENEX showed, momentum is growing for the heavy vehicle transformation – with the Zero Emission HGV and Infrastructure Demonstrator (ZEHID) programme progressing rapidly, thanks to more than 30 zero emission truck models currently available and fleet uptake supported by government’s £200 million funding.
With more than 300 such HGVs now on order, and some consortiums adapting their plans, that funding is being effectively deployed. Industry is delivering the next-generation products that operators need but the upfront cost of the fleet transition, including depot upgrades, remains a barrier to decarbonisation. That’s why the newly launched £30 million Depot Charging Scheme is a really important step, covering 75% of installation and civil engineering costs of up to £1 million per public or private fleet – giving more operators access to the benefits of overnight or back-to-base charging. With applications closing on 28 November, and installations required by 31 March next year, now is the perfect moment to make the switch.
Automotive manufacturers both build the products, and employ the workforce and generate the economic growth that the UK needs, and our sector’s key importance was also recognised earlier this year with government’s Industrial Strategy, which included the £2.5 billion DRIVE35 Transformation Fund. With funding aimed at ramping up zero emission vehicle manufacturing through large-scale capital investments in vehicle assembly, gigafactories, electric motors, fuel cells and recycling infrastructure, applications are now being assessed on a rolling basis – with decisions made within 60 working days.
Looking further ahead, the £150 million Connected and Autonomous Vehicle (CAV) trial fund will launch its first tranche in October, with a second in January. The programme will support consortiums of manufacturers, tech providers and end-users to trial autonomous freight solutions. With 150,000 HGV drivers nearing retirement and fewer than 1% under 25, automated mobility offers a major opportunity to address labour shortages and improve route efficiency.
Given the immense opportunities available at a time of rapid industry innovation, now is the time to drive your business to future growth.
