The Plug-in Grant Explained

The plug-in grant is a government incentive to promote the uptake of electric cars, offering a discount on the price of new eligible vehicles. From 2030 the sale of new petrol and diesel-only internal combustion engine cars will be banned, with new hybrid powertrain cars also banned from sale in 2035.

This ambitious yet achievable goal is a push from the government as the country aims to hit net zero emissions by 2050.

So there are a few grants provided by the Office for Zero Emissions Vehicles (OZEV) including the plug-in grant for low-emission vehicles. Explore below to find out how the plug-in grant works, how to apply and more.

The plug-in grant is a discount that’s applied to electrified vehicles to make them more affordable.

It’s aimed at anyone looking to buy a vehicle to increase the number of electric cars on the roads.

The beauty of the plug-in grant is that buyers don’t need to do anything! Dealerships and manufacturers apply the discount to the price of the car for you.

Eligible plug-in vehicles receive a discount automatically. The amount varies by vehicle type:

Wheelchair-accessible vehicles

35% discount, up to £2,500.

Motorbikes

35% discount, up to £500.

Mopeds

35% discount, up to £150.

Small vans

35% discount, up to £2,500.

Large vans

35% discount, up to £5,000.

Small trucks

(N2 vehicles) 20% discount, up to £16,000.

Large trucks

(N3 vehicles) 20% discount, up to £25,000.

Taxis

20% discount, up to £7,500.

Only certain vehicles are eligible for the plug-in grant. As long as you’re buying an eligible vehicle (full model lists available on the government’s website) you’ll receive the plug-in vehicle grant.

Explore the full list of eligibility criteria for vehicles below.

Wheelchair-accessible vehicles eligible for the plug-in grant must meet the following criteria:

1. Converted from a passenger vehicle
2. Zero tailpipe CO2 emissions
3. Travel at least 70 miles with no emissions
4. Cost less than £35,0000 (including VAT & delivery)

Motorbikes eligible for the plug-in grant must meet the following criteria:

1. Zero tailpipe CO2 emissions
2. Travel at least 31 miles between charges
3. Cost less than £10,000 (including VAT & delivery)

Mopeds eligible for the plug-in grant must meet the following criteria:

1. Zero tailpipe CO2 emissions
2. Travel at least 19 miles between charges
3. Cost less than £10,000 (including VAT & delivery)

Small vans eligible for the plug-in grant must meet the following criteria:

1. Under 2,500kg gross weight
2. CO2 emissions under 50g/km
3. Travel at least 60 miles with zero emissions

Large vans eligible for the plug-in grant must meet the following criteria:

1. Between 2,500kg and 4,250kg gross weight
2. CO2 emissions under 50g/km
3. Travel at least 60 miles with zero emissions

Small trucks eligible for the plug-in grant must meet the following criteria:

1. Between 4,250kg and 12,000kg gross weight
2. CO2 emissions at least 50% lower than equivalent ICE Euro VI vehicle with the same capacity
3. Travel at least 60 miles with zero emissions

Large trucks eligible for the plug-in grant must meet the following criteria:

1. Heavier than 12,000kg gross weight
2. CO2 emissions at least 50% lower than equivalent ICE Euro VI vehicle with the same capacity
3. Travel at least 60 miles with zero emissions

Taxis eligible for the plug-in grant must meet the following criteria:

1. Purpose-built taxis
2. CO2 emissions under 50g/km
3. Travel at least 70 miles with zero emissions

If you’re looking to buy an eligible vehicle, you don’t have to apply for the grant. The discount will already be applied to the vehicle which will be reflected in the advertised price.

However, car dealerships and manufacturers do need to apply for the grant. The OZEV pays the discount once the car order has been processed.

There isn’t currently a set end date for the OZEV’s plug-in grant. But the plug-in grant for cars ended on the 14th June 2022.

On June 14th 2022, the plug-in grant for cars ended. This follows a few updates over the last couple of years as the OZEV attempted to make the grant money go further.

Explore the timeline below to see how the plug-in grant for cars changed over the years.

2011:

The plug-in grant goes live across the UK. This was up to £5,000 off ultra-low emission cars including plug-in hybrids.

December 2015:

Maximum grant limit reduced by £500 to £4,500 & plug-in hybrids over £60,000 pulled from the scheme.

October 2018:

Grant cut by £1,000 to £3,500.

It no longer applies to hybrid cars with an electric range of under 70 miles.

March 2020:

Cut by £500 to £3,000.

Now excludes all cars over £50,000.

March 2021:

Grant cut by £500 to £2,500.

Criteria now excludes all cars over £35,000.

December 2021:

Grant cut by £1,000 to £1,500.

Criteria now excludes all cars over £32,000.

June 2022:

The OZEV ended the plug-in grant for cars.

Any orders placed between 14th June 2021 and 31st March 2023 will still have the plug-in grant applied. This is due to the current supply chain issues affecting new car delivery times.

Read our guide to electric car grants & incentives for more information. Or get in touch with your local Pentagon Group.