Motorists in the UK who buy a plug-in electric car from January next year will get a grant worth up to £5,000, the new government confirmed today.
Transport secretary, Philip Hammond, confirmed that from next year, motorists will be entitled to a ‘Plug-In Car Grant’ of up to £5,000 when buying a plug-in hybrid, hydrogen fuel-cell or electric car.
The move ends speculation that the grant, proposed by the last government, would be cut as part of the new government’s austerity cutbacks.
Carmakers had been putting pressure on the new government to announce the electric car subsidy and had warned the UK would not be attractive for new technology auto investment without it.
The government has earmarked £43 million for the scheme, which means anyone who buys an electric plug-in car from next January will get a 25% discount up to a maximum of £5,000.
