Getting the grants



We think you will really like having an electric car, but we aren’t the only ones who are keen for you to make the switch.The Government wants you to get an electric car too, so it offers a nice selection of incentives to persuade you and help make the sums add up. That’s right – free money!

​In some cases, these grants are incredibly generous and make it a no-brainer decision, so you’ll want to make sure you are taking advantage of them. Others will just smooth the way a little, but they all add up!

First of all there are the ones you might have heard of, like the Plug In Car Grant which chops £1,500 off the price of an electric car, so long as the original price was under £32,000. There are even grants for electric motorbikes and vans. Search for our “Cars with Grants” for a list of our favourites. There are plenty to choose from, ranging from family SUVs to city cars.

Then you can get up to £350 off the cost of installing a dedicated charger at home through the Electric Vehicle Homecharge Scheme. Your car dealer or the installer will be able to help talk you through the process of getting the grant.

There are also some benefits which you might now know about which could save you thousands more. For example, leasing the car through your employer’s salary sacrifice scheme will mean the money is taken out of your gross pay, just like you might have with childcare vouchers or a cycle to work scheme.

That can lop 40% off the lease payments and could even make an electric car cost less per month than you currently spend at the petrol station. Most of these schemes will include insurance and maintenance too, so remember to factor that into your calculations.

Or, if you are entitled to a company car, the tax liability is just 1% of the car’s value for the 2021/22 tax year and 2% next year and until 2025 - compared to the hundreds or even thousands of pounds you’d need to pay in tax every year for a petrol or diesel car. Your company will be pretty keen too, as there are tax advantages for having an electric car on the company books.

If you live in Scotland, there’s another nice bonus: you’ll be able to get an interest free loan to buy a new or used electric car. And don’t forget to factor in other incentives which might be available in your local area, such as free parking or exemption from tolls.

Add it all up and you might wonder how you could ever afford NOT to have an electric car!

Download our Beginners' Guide to Going Electric, produced with the Department for Transport.​

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