The government has announced an additional £120 million in funding aimed at making the switch to cleaner vans, wheelchair accessible vehicles, and taxis easier, faster, and cheaper.
Future of Roads Minister Lilian Greenwood announced today that the Department for Transport is extending the Plug-in van grant for another year to support the transition to zero emission vehicles.
The extension of the Plug-in van grant means businesses and van drivers can receive grants up to £2,500 for small vans up to 2.5 tonnes and up to £5,000 for larger vans up to 4.25 tonnes. Since its launch, the grant has facilitated the sale of over 80,000 electric and zero emission vans, demonstrating the government's commitment to backing businesses nationwide.
To further ease the transition, the department is removing the requirement for additional training for zero emission vans, which are often heavier than their petrol and diesel counterparts. This change will help businesses by reducing training costs, cutting red tape, and simplifying the hiring process for drivers operating electric vans.
Commenting on the funding, Greenwood said:
“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.
“By making the transition to zero emissions a success, we’re helping to drive growth all over the UK, putting more money in people’s pockets and rebuilding Britain to deliver our Plan for Change.”
Today's funding is part of a broader £2.3 billion initiative to support the switch to electric vehicles (EVs). This investment is creating high-paid jobs, supporting businesses across the country, and positioning the UK as a clean energy superpower. The government is also extending support for taxi drivers, offering £4,000 to purchase zero emission black cabs, and increasing the Plug-in wheelchair accessible vehicle grant cap from £35,000 to £50,000.
The government has strengthened incentives to purchase zero emission vehicles by maintaining generous ZEV incentives in the Company Car Tax regime. With over 382,000 electric cars sold in 2024, the transition to electric is accelerating. The UK now boasts over 74,000 public chargers, with nearly 20,000 added last year alone. Continued investment, including £200 million announced in the budget and £6 billion in private investment, will ensure the charging network expands to meet growing demand.
Owning an electric car is becoming increasingly affordable, with drivers saving up to £750 annually by charging at home compared to petrol. The average range of a new electric car is now 236 miles, offering significant environmental benefits by emitting just one-third of the greenhouse gases of a petrol car over its lifetime.
Image credit: iStock
