Government introduces new EV grants up to £3,750

The UK government is reintroducing grants offering discounts of up to £3,750 on eligible new electric cars, aiming to encourage a shift from petrol and diesel vehicles. These discounts will apply to EVs costing up to £37,000, with greater reductions for more environmentally friendly models, as confirmed by the Department for Transport (DfT).

Carmakers can apply for this funding from Wednesday, with discounted vehicles expected to appear in dealerships within weeks. The scheme is part of a £650 million initiative available for three years. Once a model is approved, manufacturers will directly apply the discount, meaning customers will see a reduced price without needing to take additional steps. A list of eligible vehicles is anticipated soon.

This comes as the government targets banning new petrol and diesel car sales from 2030. There are currently around 1.3 million EVs on UK roads, supported by approximately 82,000 public charging points. Transport Secretary Heidi Alexander recently announced an additional £63 million investment in EV charging infrastructure.

While the upfront cost of EVs remains higher on average than petrol cars, their running costs can be lower. Industry figures indicate public charging averages 15p-23p per mile, while home charging can be 6p-9p per mile.

Steve Catlin of Vauxhall welcomed the grants but highlighted the need for increased consumer demand and more charging points, particularly for the 40% of UK households without driveways. Shadow Transport Secretary Gareth Bacon criticised the move, arguing it forces families into more expensive options before the country is ready.

The government maintains the discount makes zero-emission cars more affordable to buy and run, offering savings for families.

Source: BBC News

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