Major changes to Plug-in Vehicle Grants

On 7AM Tuesday morning the Government announced that it is closing the Plug-in Car Grant (PiCG) to new orders. Since the schemes inception it has succeeded in creating a mature market for ultra-low emission vehicles. Full electric car sales have increased exponentially, in 2011 less than 1,000 EV’s we sold compared that to almost 100,000 in the first five months of 2022 alone. Here is the full statement from the Government.

Government statement

‘’ The Government has always been clear the Plug-in Car Grant was temporary and previously confirmed funding until 2022-23. Successive reductions in the size of the grant, and the number of models it covers, have had little effect on rapidly accelerating sales, or on the continuously growing range of models being manufactured.’’

‘’Due to this, the Government is now refocussing funding towards the main barriers to the electric vehicle (EV) transition, including public charging and supporting the purchase of other road vehicles, where the switch to electric requires further development.’’

‘’To continue the Government’s drive towards net zero and ensure effective use of taxpayer funds, £300 million in grant funding will now be refocussed towards extending Plug-in Grants to boost sales of plug-in taxis, vans, trucks, motorcycles, and wheelchair accessible vehicles, as announced in the Autumn Statement.’’

‘’Due to the success of the PiCG and maturity of the plug-in car market, we now need to target our vehicle grants where taxpayer’s money will make the most difference. We announced in March 2022 that we plan to extend the Plug in Van and Truck Grants until at least 2024/25. Today, we would like to announce that we also plan to extend the Plug in Wheelchair Accessible Vehicle Grants until at least 2024/25. In addition, we plan to extend the Plug in Motorcycle and Taxi Grants until at least 2023/24.’’

‘’ Significant savings in running costs for electric cars compared to petrol or diesel equivalents can often exceed the current £1,500 value of the grant, and electric car drivers will continue to benefit from generous incentives including zero road tax and favourable company car tax rates, which can save drivers over £2,000 a year.’’

‘’The PiCG has ended from 07:00 today (14 June 2022). We have temporarily suspended the grant portal while we deactivate those vehicles which were previously eligible for this grant. The portal will be available again from around noon today.’’

‘’The guidance on the Gov.uk website will be updated to reflect this announcement. A revised list of vehicles eligible for the grants will be available on our website from around midday.‘’

Any questions about the above statement you can email :  [email protected]

Vehicles affected by this change are as follows – Please note certain derviatives of the below never qualified for the Plug-in Car Grant due to their pricing being over the threshold:

• Citroen E-Berlingo
• Citroen E-space Tourer
• Citroen E-C4 Hatchback
• Fiat 500 Electric
• Hyundai Kona Electric
• Mazda MX-30
• MG MG5 Estate
• Mini Cooper S Level 1 and 2
• Nissan Leaf
• Nissan NV200
• Peugeot e-208
• Renault ZOE
• Smart Fourtwo Coupe/Cabrio
• Vauxhall Mokka-e
• Vauxhall Combo-e Life
• Vauxhall Corsa-e
• Vauxhall Vivaro-e Life
• Volkswagen ID.3
• Volkswagen UP Electric

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