EV grant scheme boost worth £1.3bn expected in Budget

by | Nov 22, 2025 | Politics

The government is expected to announce an extra £1.3bn in funding for a scheme encouraging the use of electric vehicles (EVs) at next week’s Budget. The Electric Car Grant scheme started in July as part of the move to zero emission vehicles. The government says it has helped 35,000 switch to EVs.However, early research suggests there is little indication the scheme has attracted entirely new buyers. There will also be money to create more charging points, and a consultation on helping people without driveways to charge their cars. It is also possible EV owners could face a new tax elsewhere in Wednesday’s Budget in the form of a pay-per-mile charge in future.All new cars will have to be electric or hybrid from 2030, when a ban on the sale of new petrol and diesel cars comes into force.The Electric Car Grant scheme, which provides a discount of up to £3,750 on eligible vehicles, was launched with an initial fund of £650m.New AutoMotive, a non-profit organisation supporting the UK’s transition to electric vehicles, found in a recent study that the scheme had yet to expand the market for EVs.EVs covered by the scheme made up 23.8% of new registrations in September, the same as their share before the Electric Car Grant was announced, New Automotive said.”It isn’t yet clear that it’s prompting consumers to consider buying cars that they wouldn’t have gone ahead and bought anyway,” David Farrar, policy manager for New AutoMotive, said at the time.The Budget is also expected to announce a further £200m for speeding up the rollout of chargepoints across the UK.Data from Zapmap shows almost 87,000 points across the UK, in about 44,000 locations …

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[mwai_chat context=”Let’s have a discussion about this article:nnThe government is expected to announce an extra £1.3bn in funding for a scheme encouraging the use of electric vehicles (EVs) at next week’s Budget. The Electric Car Grant scheme started in July as part of the move to zero emission vehicles. The government says it has helped 35,000 switch to EVs.However, early research suggests there is little indication the scheme has attracted entirely new buyers. There will also be money to create more charging points, and a consultation on helping people without driveways to charge their cars. It is also possible EV owners could face a new tax elsewhere in Wednesday’s Budget in the form of a pay-per-mile charge in future.All new cars will have to be electric or hybrid from 2030, when a ban on the sale of new petrol and diesel cars comes into force.The Electric Car Grant scheme, which provides a discount of up to £3,750 on eligible vehicles, was launched with an initial fund of £650m.New AutoMotive, a non-profit organisation supporting the UK’s transition to electric vehicles, found in a recent study that the scheme had yet to expand the market for EVs.EVs covered by the scheme made up 23.8% of new registrations in September, the same as their share before the Electric Car Grant was announced, New Automotive said.”It isn’t yet clear that it’s prompting consumers to consider buying cars that they wouldn’t have gone ahead and bought anyway,” David Farrar, policy manager for New AutoMotive, said at the time.The Budget is also expected to announce a further £200m for speeding up the rollout of chargepoints across the UK.Data from Zapmap shows almost 87,000 points across the UK, in about 44,000 locations …nnDiscussion:nn” ai_name=”RocketNews AI: ” start_sentence=”Can I tell you more about this article?” text_input_placeholder=”Type ‘Yes'”]