The Government must provide greater clarity on regulations, fiscal incentives and innovation support to put the UK at the forefront of the zero emission vehicle industry, says the Aldersgate Group.
The alliance of leaders from business, politics and civil society, has launched a new briefing, Driving Ambition, which sets out key business recommendations for rapidly cutting road transport emissions in the UK.
Nick Molho, executive director of the Aldersgate Group, said, "Significantly cutting emissions from road transport is both an urgent environmental imperative and a unique economic opportunity for the UK.
"We will only get there, however, if the Government provides much greater clarity on how vehicle emissions need to reduce in the 2020s, provides stable grant and tax incentives to drive consumer demand and stands ready to take the necessary measures to ensure that manufacturers play their part in meeting the public and business demand for clean vehicles.
"If we are to fully decarbonise transport by 2050, technological changes are only part of the picture.