UK launches £650 million Electric Car Grant offering up to £3750 off 64 eligible EVs
By Eve
The UK government's Electric Car Grant scheme, which began rolling out in July 2025, provides discounts of either £1,500 or £3,750 on electric vehicles priced below £37,000 or £42,000. The two tier system awards the full £3,750 discount to vehicles meeting stringent criteria on real world range, sustainability and warranty cover, with eligibility determined by production carbon footprint including battery manufacturing and grid intensity. The scheme now covers 64 models ranging from superminis to SUVs, with the Abarth 500e among those qualifying for the top band discount from an original price of £27,995.
Why it matters
This £650 million grant scheme directly impacts EV adoption rates and charging infrastructure demand planning, as subsidised vehicles below £42,000 will accelerate fleet electrification and require corresponding public and workplace charging capacity. CPOs and installers should monitor uptake patterns across the 64 eligible models to forecast charging demand in residential and destination locations where these affordable EVs will concentrate.
Source
- Original title
- “Electric Car Grant: How to save up to £3750 on these 64 new EVs”
- Published
- 19 October 2026
In this story
- Topic
- Policy & Market
- Place
- United Kingdom
Related news
TfL consults on zero-emission mandate for new private hire vehicles from July 2028
Transport for London has opened a consultation running until 2 December 2026 on requiring all newly licensed private hire vehicles to be zero-emission from July 2028, with wheelchair accessible vehicles following in July 2030. TfL forecasts the proposals would cut private hire vehicle NOx emissions by 9% and CO2 emissions by 35% over the first ten years, rising to a 97% reduction over eighteen years. More than 70% of private hire vehicles are now zero-emission capable, though many still produce exhaust emissions when not operating in electric mode.
Why it matters
The consultation sets a firm timeline for zero-emission private hire licensing in London, signalling demand for charging infrastructure to support a fleet transition and giving vehicle manufacturers clarity on wheelchair accessible vehicle requirements. Operators and charge point providers will need to plan for increased electric vehicle adoption across the private hire sector from 2028 onwards.
Budget incentives could spur 61% of drivers to buy EVs sooner
A survey of 1,500 UK drivers by road safety technology company Ooono found that 61% would consider bringing forward an electric vehicle purchase if the Government introduced additional financial incentives in the Autumn Budget. Of those surveyed, 21% said they would definitely accelerate their EV purchase with new incentives, while 40% said they possibly would, and 11% are already planning to purchase an electric vehicle. However, 55% of respondents cited concerns over government support and the possibility of additional charges, such as electric Vehicle Excise Duty pay per mile taxation, as reasons not to make the switch.
Why it matters
The research suggests that government policy decisions on incentives and taxation could significantly influence the pace of EV adoption in Britain, which in turn affects the scale and timing of charging infrastructure investment needed to support the transition. Uncertainty over future policy is currently holding back potential EV buyers, creating unpredictability for charge point operators planning network expansion.
30 climate and health groups warn UK government against weakening ZEV mandate
A coalition of 30 organisations, including WWF, Greenpeace and Friends of the Earth, has warned the UK government that diluting the Zero Emission Vehicle mandate would be an act of economic self harm. A formal consultation is underway exploring options to lower annual percentage targets for new zero emission cars and vans, with the Financial Times reporting that the Burnham administration is now considering a 60% target for 2030, up from an earlier proposal of 50% but down from the current 80% requirement. The 100% zero emission target for 2035 remains fixed.
Why it matters
Any weakening of the ZEV mandate could slow EV adoption rates and reduce the urgency for charge point operators to expand infrastructure ahead of 2030. Lower sales targets may also affect public sector procurement timelines and the business case for workplace and destination charging investments.