UK unveils £650M EV grant scheme, offering up to £3,750 off new electric cars

• The UK government has announced a £650 million initiative to provide discounts of up to £3,750 on eligible electric vehicles, aimed at making electric car ownership more accessible as part of their Plan for Change.

• This Electric Car Grant (ECG) will support both domestic and international manufacturers that meet strict sustainability standards, in line with the UK's goal to phase out new petrol and diesel vehicle sales by 2030.

• Discounts will apply to new electric cars priced at £37,000 or less and will be available directly at the point of purchase, starting July 16, with funding expected to last until the end of the 2028–2029 financial year.

Government Initiative for Electric Vehicle Discounts

Drivers throughout the UK will soon enjoy substantial savings on a variety of new electric vehicle models, thanks to an announcement made by the Transport Secretary on Tuesday regarding a £650 million grant initiative. This program aims to provide discounts of up to £3,750 per vehicle, making electric car ownership more attainable for many individuals as part of the government's broader Plan for Change.

In alignment with their commitment to phase out the sale of new petrol and diesel vehicles by 2030, the £650 million Electric Car Grant (ECG) will support both UK-based and international manufacturers, with eligibility determined by adherence to stringent sustainability standards in production.

Eligible new electric cars, priced at £37,000 or less, will receive discounts of up to £3,750 directly at the point of purchase, as indicated in the government’s official announcement. A timeline for benefitting from these discounts will commence on July 16, following manufacturer applications for their zero-emission vehicles to participate in the grant scheme. Funding is designated to remain available until the conclusion of the 2028–2029 financial year.