Expanded grant program leads to reduced prices for 13 additional electric vehicle models
The UK government's latest £63 million charging package, designed to support the transition to electric vehicles (EVs), is creating a stir in the automotive industry. This funding not only covers home charging solutions but also promises to keep running costs as low as 2p per mile for EV owners.
Renault, a leading player in the EV market, has welcomed the support of the Electric Car Grant (ECG) for their entire electric car range. This backing could significantly accelerate the shift towards electric vehicles in the UK.
Demand for electric cars under £37,000 has surged by 124% following the scheme's announcement, indicating a growing interest in affordable EVs.
The ECG, which provides discounts of either £1,500 or £3,750 on new electric cars, is aimed at promoting zero-emission vehicles. To be eligible, cars must be new M1 passenger vehicles with zero tailpipe CO₂ emissions, priced at or below £37,000, and meet strict environmental criteria. These criteria include manufacturers holding a verified Science Based Target and demonstrating low carbon emissions from vehicle assembly and battery production.
Currently, 17 models have been approved for the £1,500 discount, including popular models from Renault, Nissan, and Vauxhall. The Renault Alpine A290, Megane, Renault 4, Renault 5, Scenic, Nissan Micra, Ariya, Vauxhall Corsa Electric, Combo Life Electric, Astra Electric, Mokka Electric, Frontera Electric, Grandland Electric, are among the eligible vehicles.
Nissan has announced that the Micra, Ariya, and three new electric vehicles, including the all-electric British-built LEAF, will be available later this year. Vauxhall has also expressed their gratitude for the support of the ECG for every electric model in their line-up, including those manufactured at Ellesmere Port.
While no vehicles have been confirmed for the higher £3,750 grant tier yet, they are reserved for those meeting the highest sustainability production standards.
The ECG scheme, which runs from 16 July 2025 until at least the 2028-2029 financial year, aims to increase the affordability and accessibility of electric vehicles in the UK. The government's investment in this initiative is part of a broader strategy to reduce carbon emissions and support a sustainable future.
In addition, recent changes to the Zero Emission Vehicle (ZEV) Mandate provide industry with the certainty and stability they have been asking for. Crucial trade deals with the US, India, and the European Union support the UK's automotive sector and protect jobs. The Department for Transport has also published guidance to help manufacturers apply for the Electric Car Grant easily.
In summary, the Electric Car Grant is making electric vehicles more affordable and practical for UK consumers. Eligible cars must be zero-emission, cost £37,000 or less, come from manufacturers complying with environmental standards, and be on the official approved model list, which currently includes key models mainly from Renault, Nissan, and Vauxhall.
Sports enthusiasts might be drawn towards the affordable electric vehicle options, as the Electric Car Grant offers discounts of up to £3,750 on qualifying models, which could lower the barriers to entry for potential EV owners interested in the growing range of Electric Vehicles (EVs) in the UK market. With leading brands like Renault, Nissan, and Vauxhall having models eligible for the grant, sports-oriented EVs could become increasingly popular in the UK.