What grants are available for EVs in the UK

Electric Vehicle ownership has become increasingly more popular. Official figures show that in 2021, 190,000 (or 11.6%) of all new car sales were battery electric vehicles. That’s more EVs than had been sold in the previous 5 years combined. Indeed, March 2022 was a record-breaking month with a new high of just over 39,000 new zero emission cars being sold. That’s an increase of 79% on the year before. And all this with a backdrop of the pandemic and a global semiconductor chip shortage. It’s still more expensive to own an electric vehicle though (just!). So it may be useful to know what grants are available for Electric Vehicles in the UK.

With only 11% market share of the new car market there is still some way to go. Government intervention will be needed to achieve the goals set out to increase electric vehicle usage and reduce/eliminate petrol and diesel vehicles on UK roads.

The cost of owning an Electric Vehicle

The price of purchasing an electric vehicle has always been higher than that of a conventional vehicle. But that is changing. And the point where electric vehicles will be cheaper to buy than petrol/diesel vehicles is rapidly approaching. When you factor in the extortionate cost of fuel at the pumps versus the cost to charge, we’re almost at the point already. It won’t be long until electric vehicle ownership is the more cost effective motoring option.

The good news is that there are Government grants available to help promote the ownership of electric vehicles. The bad news is these grants have changed somewhat in the last month. And with not much information out there to detail what the changes are we thought we’d put together a guide to what grants are available as of September 2022 in the UK.

What grants are available for Electric Vehicles in the UK when it comes to purchasing an EV?

The Plug-in Car Grant or PICG is a scheme where you can get a discount on the price of a brand new low-emission vehicle. The grant is given to vehicle dealerships and manufacturers who then pass this discount on to customers. Vehicles that are eligible for the grant have to be included on the Governments approved list (which you can find here).

*UPDATE – JUNE 14th 2022*

The UK Government has, with immediate effect, ended the £1,500 grant for cars. It cites the success of the scheme so far and a move towards expanding help towards electric taxis, vans, trucks, motorcycles and wheelchair accessible vehicles. Details of the remaining grants are highlighted below and will be updated if any changes are made.

Mopeds, motorcycles and vans are included, each with a different discount attached and some with limitations on the number of grants available:

  • Cars – up to 35% discount, to a maximum of £1,500 for vehicles under £32,000 *WITHDRAWN JUNE 2022 – NO LONGER AVAILABLE*
  • Wheelchair Accessible Vehicles – up to 35% discount, to a maximum of £2,500 for vehicles under £35,000 (only 1000 grants are available between 1 April 2022 and 31 March 2023)
  • Mopeds – up to 35% discount, to a maximum of £150 for vehicles under £10,000
  • Motorcycles – up to 35% discount, to a maximum of £500 for vehicles under £10,000
  • Small vans – up to 35% discount, to a maximum of £2,500, only 1000 grants per business per year
  • Large vans – up to 20% discount, to a maximum of £5,000, only 1000 grants per business per year
  • Taxis – up to 20% discount, to a maximum of £7,500
  • Small trucks – up to 20% discount, to a maximum of £16,000, limited grant numbers
  • Large trucks – up to 20% discount, to a maximum of £25,000, limited grant numbers

For more information on truck grant caps please see Government Plug In Car and Van Grants

*UPDATE – OCTOBER 4th 2022*

The Government has temporarily extended the UK plug-in car grant in the face of supply chain issues due to ongoing semiconductor shortages and the conflict in Ukraine. This will mean that electric cars that have been delayed will still be eligible for the grant but it is still not available to new customers. The extension covers all grants logged on the system during an 18-month period 14 June 2021 and 31 March 2023.

Electric Vehicle Frequently Asked Questions

What grants are available for Electric Vehicles in the UK when it comes to Chargepoints?

From the 1st April 2022 the Government replaced the old Electric Vehicle Homecharge Scheme (EVHS), which was open to homeowners, with the EV chargepoint grant.

EV Chargepoint Grant for Flat Owner-occupiers and those living in rented properties

This scheme has replaced the EVHS scheme and is open to homeowners who live in flats and people that live in rental accommodation. To qualify:

  • You need to own, lease or have ordered a qualifying vehicle (the eligible vehicle list can be found here.)
  • You’ll need to have dedicated off-street parking at your property
  • You must live in rental accommodation or own a flat

Both the charging point and the installer must be OZEV approved. To receive the grant, the date of installation must not be more than four months ahead of delivery or registration date. More information on how we can help with this grant is available here or you can visit the government website for more specific details about the scheme.

EV Chargepoint Grant for Landlords

A new scheme is available which provides funding to install electric vehicle chargepoints as a landlord, social housing provider or property factor in their rental and leasehold properties. This scheme replaces the old Electric Vehicle Homecharge Scheme (EVHS). The scheme is open to:

  • landlord of a property that lets the property
  • right to manage (RTM) company
  • companies owning the freehold of a leased or rented property
  • companies owning a building’s common areas. The company may comprise shareholders who are the leaseholders. The company may also manage the building
  • property factor listed on the property factor register
  • private registered providers of social housing (PRP)
  • public authorities, such as government departments and their agencies, the armed forces, local governments, the NHS and emergency services
  • charities

Eligibility

To be eligible you must be registered at Companies House. If not, you must be VAT registered with Her Majesty’s Revenue and Customs (HMRC). If you are not registered at either, you will not be eligible for the grant. To access the grant a landlord must first register. They can then appoint an OZEV approved installer who can claim on their behalf. The grant provides funding towards the cost of buying and installing EV chargepoints. Chargepoints may be able to charge one or more vehicles simultaneously, depending on the number of sockets they have.

The grant amount given is per chargepoint socket installed. It provides up to 75% of the cost towards the purchase and installation of a chargepoint socket, limited to £350 per grant.

Landlords can receive up to 200 grants a year for residential properties, and a further 100 for commercial properties. These may be across a number of properties and installations or just for one property.

What grants are available for Electric Vehicles in the UK

What grants are available for Electric Vehicles in the UK when it comes to businesses?

The Workplace Charging Scheme (WCS) is a government scheme for electric vehicles offered by the Office for Zero Emission Vehicles (OZEV). The WCS is open to businesses, charities and public sector organisations that meet the eligibility criteria (see below).

Businesses can reduce the cost of Workplace chargepoints by up to £14,000 with the government WCS grant. It’s a voucher-based grant designed to help with the up-front costs of buying and fitting charge points at a workplace. Businesses of all shapes and sizes can be eligible for £350 funding per charging socket at their workplace car park. Along with this financial incentive there are also generous tax incentives for company car drivers using an EV vehicle. These can mean savings of more than £2,000 a year to businesses and individuals. Full details of the benefits of an electric fleet can be found on our blog.

How does it work?

  • The WCS reduces the purchase and installation cost of a new workplace charging station (single socket) by 75% (capped at £350 per socket).
  • A single business can claim for up to a maximum of 40 chargepoints (e.g. 40 single socket or 20 double socket chargepoints).
  • You can only claim the WCS for new chargepoints which will be installed after the date the voucher is issued.

Eligibility checklist

  • Can be claimed by any business, charity or public authority (back claiming is not possible)
  • You must have off street parking and be able to outline a business need for electric vehicle chargepoints, or an intent to encourage uptake among their staff and/or fleet
  • Your chargepoints must be installed by an OZEV-approved installer.
  • We‘ll help you apply for a digital voucher. The voucher will be valid for four months (120 days) from the date of issue.

The grant is capped at £350 per socket, up to 40 sockets.

EV charging for businesses

What do I need to do?

  • Complete an online application.
  • Successful applicants are issued with a unique identification voucher code by email, which can then be given to any OZEV-authorised WCS installer.
  • Once the chargepoint(s) have been installed, the authorised installer can claim the grant from OZEV on the applicant’s behalf. The chargepoint installation must be completed and the voucher claimed within 6 months of the voucher’s issue date.
  • The voucher code is valid for 120 days from the date of issue.
  • If you apply for less than 40 sockets, you can submit additional applications in the future until you reach that limit.

MP Walden is a Commercial EV Charger Installer on the list of Government approved OZEV Workplace Charging Scheme authorised installers. Our experienced Commercial Electric Vehicle Charger Installers are available to help you through the process of claiming the grant. Full information on the scheme is available on the government website linked here.

What EV Grants will be available in the future?

It’s difficult to predict exactly what grants may appear in the future or how long the current set will be in place. When the EVHS was originally launched there were no end dates put in place. But with changing ambitions towards net zero, a limited pot for the grant and the success of the scheme, it was brought to an end and a replacement put in place, tailored to target a much smaller market. As with all policies, circumstances dictate how they evolve. The current situation in Europe that has affected gas and fuel supplies will undoubtedly force policy changes with regards to future EV adoption. And any change of governing party in the UK will predictably change the parameters of future grants.

Needless to say, as Electric Vehicle Charger Installers for both domestic and commercial customers, we make it our business to know exactly what’s going on in the market and with regards to policies and grants. If you’re in any doubt as to what grants are available for Electric Vehicles in the UK, especially those relating to EV Chargers, don’t hesitate to get in touch.