William Eichler 14 June 2022

Electric vehicle plug-in grant comes to an end

Electric vehicle plug-in grant comes to an end image
Image: paulynn/Shutterstock.com.

The Government is today closing the plug-in grant for cars and says the focus will now be on expanding the public charge point network.

The Department for Transport (DfT) said that the grant was always supposed to be temporary and that successive reductions in the grant’s size have had little effect on electric vehicle car sales or the range of models being manufactured.

The DfT plans to refocus funding towards what it calls the main barriers to the electric vehicle (EV) transition, including public charging and supporting the purchase of other road vehicles – such as electric taxis, vans, trucks, motorcycles and wheelchair accessible vehicles – where the switch to electric requires further development.

Transport minister Trudy Harrison said: ‘The Government continues to invest record amounts in the transition to EVs, with £2.5bn injected since 2020, and has set the most ambitious phase-out dates for new diesel and petrol sales of any major country. But Government funding must always be invested where it has the highest impact if that success story is to continue.

‘Having successfully kickstarted the electric car market, we now want to use plug-in grants to match that success across other vehicle types, from taxis to delivery vans and everything in between, to help make the switch to zero emission travel cheaper and easier.’

Responding to the announcement, Toby Poston, director of corporate affairs at the BVRLA said that the move could damage consumer confidence in EVs.

Acknowledging that the grant was always supposed to be temporary, Mr Poston said: ‘Although the grant was small and only a handful of electric vehicles were eligible, its withdrawal will be a symbolic moment that could damage confidence in the fragile EV market.

‘Most demand for EVs is being driven by the favourable Benefit-in-Kind tax rates available to workers in company car or salary sacrifice schemes. As inflation surges and business and consumer confidence falls, Government needs to maintain these incentives if the country is to have any chance of hitting its ambitious decarbonisation targets.’

He continued: ‘Our big concern is for the thousands of drivers that have already ordered EVs in good faith, expecting to get the benefit of the grant. The supply issues that continue to beset the automotive industry mean that many vehicle orders are being delayed or even cancelled. OZEV should review its decision to remove grant eligibility for vehicles delivered more than 12 months after an order was entered on the grant register.’

This article originally appeared on LAPV.

SIGN UP
For your free daily news bulletin
Highways jobs

Governance Professional

North Yorkshire Council
£14.59 to £15.56 per hour
Typically, you will work with an allocation of schools within an agreed geographical area. Northallerton, North Yorkshire
Recuriter: North Yorkshire Council

Social Worker - Disabled Children's Team

North Yorkshire Council
£39,481 to £44,253 per annum
Our 0–18 Disabled Children’s Service takes a holistic and child-centred approach, working with a diverse range of children Northallerton, North Yorkshire
Recuriter: North Yorkshire Council

Social Worker - Disabled Children's Service

North Yorkshire Council
£39,481 to £44,253
As a Social Worker, you will build strong relationships with families and work in partnership with them across Child in Need (Section 17) Selby, North Yorkshire
Recuriter: North Yorkshire Council

Senior Education Adviser

North Yorkshire Council
£60,269 - £68 ,860 per annum
You will work with a wide variety of schools and settings including Local Authority maintained schools and academies. Northallerton, North Yorkshire
Recuriter: North Yorkshire Council

Practice Supervisor – Family Assessment and Support Team (FAST)

North Yorkshire Council
£48,738 - £53,051
We are looking for colleagues who can help us continue to offer a unique service and truly make a difference to the young people of our county. Scarborough, North Yorkshire
Recuriter: North Yorkshire Council
Linkedin Banner