London leads the UK in electric vehicle (EV) adoption, but policy uncertainty threatens momentum. Scrapping the full Cleaner Vehicle Discount could slow the city’s transition to cleaner transport, says Matt Croucher, Believ’s Chief Commercial Officer.

There are now more than 1.6 million electric vehicles (EVs) on UK roads and more than one in five new (22%) car purchases are EVs. Local authorities, businesses and landowners, supported by charge point operators (CPOs), are rapidly growing the UK’s electric vehicle public infrastructure to meet the growing demand.

However, in London, a recent policy change risks stalling that momentum just when we need it most. Transport for London (TfL) has announced that from December 2025, it will scrap the Cleaner Vehicle Discount (CVD) and replace it with a reduced tiered discount, meaning EVs will no longer be fully exempt from the Congestion Charge. For many EV drivers that exemption is worth up to £3,000 a year, and that’s a serious incentive taken off the table.

As part of Electric London, the coalition lobbying the London Mayor to maintain EV incentives, Believ is actively engaged in these conversations, including launching an open letter to the mayor, urging action to protect the CVD. The CVD consultation period is now closed, and we are waiting on the results.

At Believ, we’re on a mission to make sustainable transport accessible to all. But when policy shifts remove key cost-saving benefits, we risk setting back the transition to EVs and making it harder for drivers and businesses to make the switch.

Why this matters to the EV transition

Right now, London leads the way on EV adoption. Nearly a third (30%) of new cars sold in the capital are electric, and Greater London is also home to more than one-third of the nation’s charging infrastructure. One of the driving factors? The Cleaner Vehicle Discount (CVD), providing drivers a strong financial reason to go electric.

Removing this exemption in December will make EVs more expensive to run, especially for businesses and high-mileage drivers. With the UK Government offering a grant of up to £3,750 to support new EV purchases, this change risks cancelling out most of that benefit in a single year. If the financial case weakens, EV demand could stall, or worst-case scenario, some drivers may switch back to petrol or diesel. Not only is this a massive problem for the environment, but it could also affect the rollout of EV infrastructure.

Private investment needs stable policy

Earlier this year, Believ announced a £300m private investment to accelerate the UK’s EV infrastructure rollout and is set to add 30,000 public EV charge points across the UK. This was well received by the Government, as it looks to the private sector to lead on the delivery of this infrastructure, and demonstrates to local authorities, businesses and landowners that Believ is a well backed and financially stable CPO partner that can be relied upon for the long-term deployment of reliable EV charging infrastructure. The investment will encourage EV uptake and in turn, improve air quality and cut transport carbon emissions. But to match infrastructure to demand, policy must remain consistent and supportive.

This is particularly important in London, where the EV infrastructure rollout has gathered significant momentum. As a CPO working closely with London boroughs, from Richmond, Ealing, Hammersmith & Fulham, Wandsworth, Redbridge, Waltham Forest, Croydon, and Newham, we know how critical it is that infrastructure planning keeps pace with uptake.

Air quality still matters

TfL has said the decision to reverse the CVD is about reducing congestion, which we understand, but the risk if that by withdrawing the discount too soon, the rapid transition we have been seeing towards EVs and away from petrol/diesel vehicles will slow down. The need for car- and van-based trips across London is not likely to reduce significantly in the short to medium term, and that being the case, it is very much preferable that these are EVs, particularly as many of those benefitting from the discounts are private hire drivers, who play a role in reducing overall congestion. According to research from sustainability consultancy Stonehaven, removing the exemption could lead to an 8% rise in particulate emissions and an 11% increase in nitrogen oxides in central London.

And, if the EV charging industry is to meet the Government’s ambition of 300,000 public charge points by 2030, then we need the support to be able to achieve this goal. Therefore, clean air must stay high on the agenda for the Government, and at the forefront of consumer’s minds.

EV drivers need confidence, not confusion

We know drivers need clarity, reliability and confidence in their EV journeys. That means accessible and well-placed charge points across local authorities and for businesses. So, we need a policy that supports the transition, not undermines it.