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The UK electric car and Van grant What you need to know


The UK government's plug-in car grant gives customers up to £2,500 off any new electric car that costs less than £35,000; van owners can also get a subsidy.


If you want to buy a new electric car in the UK, you should be aware of the government's plug-in car incentive (PiCG). The PiCG is a type of electric-car subsidy that previously applied to all plug-in vehicles, but currently restricted to those with a range of at least 70 miles of zero-emissions driving.




The Department for Transport (DfT) made major revisions to the award in March 2021 in order to make the funding available for the scheme to continue longer. The PiCG is now only available for automobiles up to £35,000 and covers 35 percent of the purchase price up to £2,500 – down from £3,000 previously. The electric van subsidy, on the other hand, is subject to certain requirements.


Since it was first established in 2011, the PiCG's conditions have altered multiple times. It gave up to £5,000 toward the purchase of both plug-in hybrid and pure-electric automobiles at the time. The criteria changed in 2018 to exclude cars with combustion engines, and the price barrier for the grant was £50,000 until the modifications in 2021.


Dispite this, the plug-in car subsidy, in combination with the extremely low company-car tax rate on electric vehicles, is intended to encourage people to transition to cleaner electric cars and vans. It also lowers the cost of zero-emission vehicles, which is crucial considering that electric cars and vans are often more expensive than their gasoline and diesel counterparts – a consideration that can deter first-time purchasers.


How Does the Grant work?


The official entity in charge of the award is the Office for Zero Emission Vehicles (OZEV). It selects qualifying vehicles based on factors such as CO2 emissions, safety features, warranty length, and top speed.


The plug-in car grant currently covers 35% of the cost of a brand-new automobile (up to £2,500).


Qualifying cars must:

  • Have CO2 emissions that are fewer than 50 grammes per kilometre.

  • To be able to drive at least 70 miles without emitting any CO2.

  • Feature on OZEV's approved vehicle list

  • Have a list price of less than £35,000


Previously, the government divided electric and plug-in hybrid (PHEV) vehicles into three categories to decide how much of a grant they were qualified for — Category 1, 2, and 3. However, in 2018, modifications meant that Category 2 and 3 vehicles (all plug-in hybrids) were no longer eligible for government assistance. Only Category 1 cars are now eligible, and the phrase "Category 1" has been phased out.


How to apply for the plug in car grant


You don't have to. Rather than the customer buying the car, the dealership selling it handles this process. Most dealerships will make it obvious what the price of an eligible automobile was before and after the grant, so you can figure out how much you saved. Manufacturers are responsible for ensuring that their vehicles are authorised for the award by submitting an application to OZEV.


Are there other grants available for Ev Cars?


Yes, you may get up to £350 from the government to help you install a home wallbox charger. These must be allowed by the city, and you must have your own off-street parking. You must also be the registered owner, or at the very least have one on order, of an eligible vehicle.

Thats where we come in why not let us review your charger situation first. See more here


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