TOO BIG TO IGNORE

The report finds that the European car leasing sector is largely unaccountable for its climate impact, with widespread opacity in reporting and weak, short-term climate commitments. Despite leasing accounting for over half of new car registrations in the EU, most companies lack science-based targets or a commitment to phase out internal combustion engine vehicles by 2035. The authors argue that voluntary action is insufficient and call for binding CO2 emissions reduction targets and harmonized reporting through the forthcoming EU Fleets Regulation.

• Leasing has become the primary distribution channel for new vehicles in the European Union, representing 54% of all new car registrations in 2023 and is projected to reach 70% by 2030.
• There is a significant transparency gap in the sector; only eight of the 20 major leasing companies analyzed publish reports addressing climate-related considerations, and none provide a public breakdown of fleet data by vehicle type, region, or contract year.
• Climate commitments are fragmented and often lack ambition, with only nine of the 20 companies setting any public climate targets. Only five companies have set clear targets to increase the share of battery electric vehicles (BEVs) in their fleets.
• No leasing company has committed to phasing out the financing of internal combustion engine (ICE) vehicles in Europe by 2035, which is the date aligned with EU CO2 regulations.
• Many companies rely on short-term targets (2025-2027) or questionable methodologies, such as including plug-in hybrid vehicles (PHEVs) in electrification targets despite their poor real-world performance.
• Several companies use carbon offsetting schemes, such as tree-planting, which the report describes as offering negligible benefits and risking the diversion of attention from genuine emissions reductions.
• Volkswagen Financial Services claims a target of carbon neutrality by 2030, but the report notes this lacks credibility because it is not supported by a clear roadmap or interim milestones.
• Leasing companies exert significant influence over the transition to zero-emission mobility by determining the economic conditions of new vehicle market access, guiding customer demand, and shaping the second-hand vehicle market.

APA

Etienne, C., Larivière, L., Antich, A., Cornelis, S., Peplow, L., & Pinson, L. (2025). TOO BIG TO IGNORE. Reclaim Finance. https://reclaimfinance.org/site/wp-content/uploads/2025/06/Too-big-to-ignore_VF.pdf

Chicago

Etienne, Christophe, Léo Larivière, Arnau Antich, Stef Cornelis, Laurence Peplow, and Lucie Pinson. TOO BIG TO IGNORE. Reclaim Finance, 2025. https://reclaimfinance.org/site/wp-content/uploads/2025/06/Too-big-to-ignore_VF.pdf.

Wikipedia

{{cite report |last1=Etienne |first1=Christophe |last2=Larivière |first2=Léo |last3=Antich |first3=Arnau |last4=Cornelis |first4=Stef |last5=Peplow |first5=Laurence |last6=Pinson |first6=Lucie |title=TOO BIG TO IGNORE |publisher=Reclaim Finance |date=July 2025 |url=https://reclaimfinance.org/site/wp-content/uploads/2025/06/Too-big-to-ignore_VF.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{etienne2025too, author = {Etienne, Christophe and Larivière, Léo and Antich, Arnau and Cornelis, Stef and Peplow, Laurence and Pinson, Lucie}, title = {{TOO BIG TO IGNORE}}, institution = {Reclaim Finance}, year = {2025}, month = jul, url = {https://reclaimfinance.org/site/wp-content/uploads/2025/06/Too-big-to-ignore_VF.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }