TAXI FOCUS: Government prioritising ‘high-impact’ electric vehicle grants rather than all private cars

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The Government are only targeting electric grant offerings to vehicles that have the ‘most impact’ and ‘value for money’.

The UK Government has strategically chosen to focus its electric vehicle grant scheme on sectors where it can achieve the most significant impact and optimum value for money, steering clear of extending incentives to private car owners.

During a query raised via a Parliamentary written question, Labour MP Afzal Khan of Manchester Gorton sought clarification from the Secretary of State for Transport regarding the potential benefits of broadening the eligibility for plug-in vehicle grants to include private cars. In response, Transport Minister Anthony Browne highlighted the success of the existing framework, noting the UK now hosts over a million battery electric cars.

Browne highlighted the Government's approach, confirming that the allocation of plug-in grants would persist through at least the 2024/25 financial year, but only for motorcycles, vans, taxis, trucks, and wheelchair-accessible vehicles.

In a significant move to support the green evolution of public transportation, the Government recently extended the Plug-in Taxi Grant until 5 April 2025. This extension offers a £6,000 subsidy for each cab, promoting the adoption of electric taxis. Since its initiation in 2017, the Plug-in Taxi Grant has allocated over £50 million, aiding the transition to zero-emission vehicles and supporting the purchase of more than 9,000 environmentally friendly taxis.

Browne said: “There are now over a million battery electric cars registered in the UK, and their sales continue to grow. The Government is targeting its incentives where they have the most impact and deliver the greatest value for money. Plug-in Grants will continue until at least financial year 2024/25 for motorcycles, vans, taxis, trucks and wheelchair accessible vehicles.”