Photo: SMMT on Twitter
Despite having a clear target for banning the sale of any new internal combustion cars, the UK decided to stop subsidizing electric vehicle shopping entirely. The decision comes into effect today. Sales that already applied for the EV grant will be honored. Here’s what you need to know.
Her Majesty’s Government decided on Tuesday that the EV grant of £1,500 ($1,815) available for cars costing less than £32,000 ($38,750) is no longer necessary. Ministers agreed to cut it effective immediately. The budget will be reallocated to developing the charging infrastructure. This means companies will soon see more financial help to establish charging points for all-electric cars and plug-in hybrids.
The Government argues that EV sales are on the rise and the grant doesn’t do much in terms of making the British more interested in acquiring a zero-emission vehicle. Any cars sold until today that qualified for the grant will still be eligible, even though the application might have not been submitted yet.
“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,” said Transport Minister Trudy Harrison, according to inews.
The United Kingdom is set to ban the sale of any new internal combustion engine cars and vans from 2030. Trucks will have to follow the zero tailpipe emission rules as well. Starting from 2035, new trucks posted for sale that weigh under 26 tons (57,300 lb) must be all-electric (or fuel cell) and those that go over the 26-ton mark will have 2040 as the deadline to finally follow the zero-emission route.
“The decision to scrap the Plug-in Car grant sends the wrong message to motorists and to an industry which remains committed to Government’s net-zero ambition,” said the Chief of the Society of Motor Manufacturers and Traders (SMMT) Mike Hawes.
The UK originally had one of the most ambitious subsidizing programs for buying EVs. It started in 2011 with £5,000 ($6,055), but it was halved at the beginning of 2021. Another £1,000 ($1,210) was also shaved off also last year, in December.
Just for reference, smaller countries like Romania in Europe are still offering €10,000 ($10,430) grants per every single car bought by companies or individuals. There's no price limit for the cars bought.
The many measures set in place since 2011 have helped the UK gain £10.8 bn ($13 bn) as investments in the electrified auto industry, despite the country leaving the European Union on the 31st of January 2020.
The Government argues that EV sales are on the rise and the grant doesn’t do much in terms of making the British more interested in acquiring a zero-emission vehicle. Any cars sold until today that qualified for the grant will still be eligible, even though the application might have not been submitted yet.
“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,” said Transport Minister Trudy Harrison, according to inews.
The United Kingdom is set to ban the sale of any new internal combustion engine cars and vans from 2030. Trucks will have to follow the zero tailpipe emission rules as well. Starting from 2035, new trucks posted for sale that weigh under 26 tons (57,300 lb) must be all-electric (or fuel cell) and those that go over the 26-ton mark will have 2040 as the deadline to finally follow the zero-emission route.
“The decision to scrap the Plug-in Car grant sends the wrong message to motorists and to an industry which remains committed to Government’s net-zero ambition,” said the Chief of the Society of Motor Manufacturers and Traders (SMMT) Mike Hawes.
The UK originally had one of the most ambitious subsidizing programs for buying EVs. It started in 2011 with £5,000 ($6,055), but it was halved at the beginning of 2021. Another £1,000 ($1,210) was also shaved off also last year, in December.
Just for reference, smaller countries like Romania in Europe are still offering €10,000 ($10,430) grants per every single car bought by companies or individuals. There's no price limit for the cars bought.
The many measures set in place since 2011 have helped the UK gain £10.8 bn ($13 bn) as investments in the electrified auto industry, despite the country leaving the European Union on the 31st of January 2020.
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