EV Grants and Incentives UK 2025: What Help Is Still Available?
The UK’s transition to electric vehicles (EVs) continues at pace, with more than 1.3 million fully electric cars now registered on UK roads. For many drivers, government support has made the shift more affordable and practical. Yet as policies evolve, motorists often ask: which EV grants and incentives are still available in 2025?
At Motor Bridge, we’ve reviewed the most up-to-date information to show what’s on offer, how the system has changed, and what drivers and businesses need to know.
The Evolution of EV Grants and Incentives
The UK’s flagship Plug-in Car Grant (PiCG) once gave buyers up to £5,000 toward a new EV. Over the years, the grant value was reduced and eligibility restricted before being withdrawn in 2022.
But support didn’t vanish altogether. Instead, the government redirected resources into other schemes covering vans, taxis, charging infrastructure, and business fleets while introducing tax benefits to keep EVs attractive.
The focus of EV grants and incentives in 2025 is on encouraging large-scale adoption and helping drivers with ownership costs, rather than simply reducing sticker prices for new cars.
EV Grants and Incentives Available in 2025
1. Plug-in Van and Truck Grants
Businesses remain a key target for support. The Plug-in Van Grant provides:
Up to £2,500 for small vans (under 2.5 tonnes).
Up to £5,000 for large vans (2.5–3.5 tonnes).
Up to £16,000–£25,000 for trucks, depending on size and category.
These grants, confirmed to run until at least 2027, help fleets cut costs when switching to electric. They are one of the most important business-focused EV grants and incentives available today.
2. Plug-in Taxi Grant
Taxi drivers can still claim direct purchase support through the Plug-in Taxi Grant (PiTG).
As of 2025, the grant offers up to £4,000 or £3,000 depending on the category of vehicle.
These amounts are lower than the original £7,500 maximum but continue to encourage adoption of purpose-built electric taxis, especially in cities with expanding clean air zones.
3. Home Charging Support
While the EV Chargepoint Grant no longer applies to homeowners in single-unit houses, it remains open for:
Renters and flat owners (up to 75% of costs, capped at £350).
Landlords, including those managing residential flats and rental properties.
In addition, households with on-street parking may qualify for up to £350 toward cross-pavement charging solutions.
For individuals without driveways, this is one of the most useful EV grants and incentives in 2025.
4. Workplace Charging Scheme
The Workplace Charging Scheme (WCS) supports employers installing charge points for staff or fleets.
It covers 75% of costs (capped at £350 per socket) for up to 40 sockets across multiple sites.
For companies making the transition to electric, this remains one of the most practical EV grants and incentives.
5. Tax Benefits and Incentives
The tax system continues to make EVs attractive, especially for businesses and company car drivers.
Benefit-in-Kind (BiK) tax: EVs attract just 3% in 2025/26, with gradual rises planned to 5% in 2027/28 and 9% by 2029/30. This is still far lower than petrol or diesel cars.
Capital allowances: Companies can deduct the full cost of new EVs from taxable profits through first-year allowances.
These fiscal policies remain a cornerstone of EV grants and incentives, rewarding drivers and businesses that choose electric.
6. Vehicle Excise Duty (VED) Changes
Until recently, EVs were exempt from Vehicle Excise Duty. That changed on 1 April 2025.
New registrations: Pay £10 in year one, then the standard rate of £195 annually.
Existing EVs registered before April 2025: Move onto the standard £195 rate as well.
Expensive car supplement: Applies to EVs costing over £40,000, meaning an extra £410 per year for five years.
Although this reduces one of the historic perks of EV ownership, the government argues it aligns EVs with wider road funding policy.
7. Local Authority Support
Many councils continue to offer local EV grants and incentives, which vary by region. These may include:
Free or discounted parking for EVs.
Priority access to clean air or low-emission zones.
Locally funded charging networks.
For drivers in urban areas, these can provide everyday savings on top of national support.
Why EV Grants and Incentives Still Matter
Despite falling battery costs and more affordable models entering the market, EVs remain more expensive upfront than many petrol or diesel cars. For this reason, EV grants and incentives remain critical.
They help:
Lower adoption costs for individuals and businesses.
Support the government’s 2030 ban on new petrol and diesel sales.
Contribute to net zero targets by 2050.
Improve air quality in congested UK cities.
Without support, uptake would likely slow, but with these schemes, EV adoption continues to accelerate.
Charging Infrastructure Support
While not strictly “grants,” infrastructure investment plays a big role in encouraging EV use.
The government’s Local EV Infrastructure (LEVI) fund helps councils expand local charging access, including in rural areas.
Meanwhile, motorway service areas are rolling out more ultra-rapid DC chargers, cutting charging times to under 20 minutes. These initiatives are vital incentives, ensuring the practicality of EV ownership across the UK.
Barriers and Challenges
There are still challenges to overcome:
Affordability: Even with grants, EVs can be costly for families.
Awareness: Many drivers don’t know what schemes they qualify for.
Regional inequality: Local incentives vary widely across the UK.
Future uncertainty: Tax benefits may reduce over time as EVs become mainstream.
These issues mean motorists should stay up to date and take advantage of existing EV grants and incentives while they last.
Looking Ahead
Future support is likely to focus on:
Fleets and logistics – electrifying high-mileage vehicles that make the biggest emissions impact.
Public charging networks – ensuring equitable access nationwide.
Sustainable batteries – funding recycling and next-generation production.
Direct purchase subsidies for cars may not return, but fiscal and infrastructure incentives are expected to remain key parts of policy.
Everyday Steps to Benefit from EV Grants and Incentives
If you’re considering an EV in 2025, here are simple steps to maximise available help:
Check eligibility for the EV Chargepoint Grant if you rent or live in a flat.
Look into BiK savings if you drive a company car.
Ask your employer if they can apply for the Workplace Charging Scheme.
Research local council incentives for parking or charging.
Plan for VED charges if buying or owning an EV from April 2025.
By staying proactive, you can make the most of the EV grants and incentives still available.
Final Word from Motor Bridge
The landscape of EV grants and incentives in the UK has changed, but support remains strong in 2025. From van and taxi grants to home charging help, workplace schemes, and favourable tax treatment, there are still plenty of ways to save.
While direct grants for cars are gone, policy now focuses on fleets, infrastructure, and fair taxation. For UK motorists, the key is understanding what’s available and taking advantage before schemes evolve further.
At Motor Bridge, we’ll continue to track these developments so you have reliable information on the support shaping the future of driving in the UK.
Take a look at our Electric Vehicle Charging solutions page
