Government Boosts Electric Vehicle Adoption with Expanded Grant
London, February 25, 2025 – The UK government is injecting £120 million into the electric vehicle (EV) sector with an extension of the Plug-in Van Grant, a move aimed at accelerating the shift towards zero-emission transportation. Future of Roads Minister Lilian Greenwood announced the funding today as part of the government’s ‘Plan for Change’. The initiative, which began in 2012, has already supported the sale of over 80,000 electric and zero-emission vans.
Under the expanded grant scheme, businesses and van drivers can now apply for financial assistance. Grants of up to £2,500 are available for smaller vans (around 2.5 tonnes), and the grant increases to £5,000 for larger vans (around 4.25 tonnes). In a further move to incentivize adoption, the government has also removed the previously required extra training for drivers of electric vans, which can be comparatively heavier due to their batteries.
‘From van drivers and businesses to drivers with accessibility needs, bikers and cabbies, today we are making it easier, faster and cheaper for people to switch to electric vehicles,’ Greenwood stated.
The comprehensive package of over £2.3 billion is designed to assist both industry and consumers in making the switch to EVs. This support extends to various sectors, including taxi drivers and motorcyclists. The Department for Transport has earmarked £4,000 to help taxi drivers transition to zero-emission black cabs and will raise the Plug-in Wheelchair Accessible Vehicle Grant cap from £35,000 to £50,000.
Motorcyclists are also included in the EV push, with a £500 grant available for another year to help with the purchase of electric motorbikes. The government hopes these financial incentives will continue to drive growth in the EV sector, which is already experiencing notable progress.
According to recent government figures, over 382,000 electric cars were sold in 2024 – a 20% increase compared to the previous year.
