Which Electric Cars Qualify for the UK’s New Grant, and Why Does It Matter?
If you’ve been eyeing an electric car but hesitated because of the price tag, there’s good news. The UK government has rolled out a fresh Electric Car Grant (ECG), making some of the most popular EVs more affordable than ever. But with so many models now eligible, how do you know which ones are actually worth your hard-earned cash? Let’s break down what the grant means, which cars qualify, and how you can make the most of this opportunity.
How Does the Electric Car Grant Work, and Who Can Get It?
The ECG is designed to give buyers a leg up when switching to electric. Here’s the gist: if you buy a new EV priced under £37,000, you could get a discount of either £1,500 or £3,750, depending on where the car is manufactured and its emissions footprint. The aim? To nudge more people toward electric vehicles, especially as the UK pushes for cleaner air and a greener future.
This isn’t just about saving money upfront. By lowering the barrier to entry, the grant helps more people experience the benefits of EVs—like lower running costs, fewer maintenance headaches, and that satisfying silence when you hit the accelerator.
Why Is the UK Government Bringing Back Incentives for Electric Cars?
Let’s be honest: electric cars are everywhere in the news, but actual adoption in the UK has lagged behind expectations. According to the Society of Motor Manufacturers and Traders (SMMT), while EV sales are growing, they still make up less than 20% of new car registrations as of early 2024. The main hurdle? Price. Even with more models on the market, many drivers feel EVs are just out of reach.
That’s where the ECG comes in. By making EVs more affordable, the government hopes to accelerate adoption, support homegrown manufacturing, and help the UK hit its ambitious net-zero targets. It’s a win-win: buyers save money, and the country moves closer to a cleaner transport system.
Which Electric Cars Are Eligible for the Grant Right Now?
As of August 2024, there are 19 EVs on the official eligibility list. The best part? These aren’t just bare-bones city cars—there’s genuine variety, from stylish hatchbacks to practical family crossovers. Here are some standout options:
Renault 5: Topping the list for many experts, the new Renault 5 blends retro charm with modern tech. It’s fun to drive, surprisingly roomy, and—thanks to the grant—now one of the most affordable EVs in its class.
MG4 EV: Known for its value, the MG4 offers a solid range, sharp looks, and a comfortable ride. It’s a great all-rounder for families or commuters who want more for their money.
Vauxhall Corsa Electric: A familiar name with a new electric twist, the Corsa Electric is easy to drive, well-equipped, and ideal for city life.
Fiat 500 Electric: If you want something stylish and compact, the Fiat 500 Electric is hard to beat. It’s perfect for zipping around town and squeezing into tight parking spots.
Citroën ë-C4: For those needing a bit more space, the ë-C4 brings comfort and practicality, plus a range that’ll handle most daily journeys with ease.
These are just a few highlights. The full list is updated regularly as new models hit the market or become eligible, so it’s worth checking official government resources or trusted automotive sites for the latest info.
What Should You Consider Before Choosing an Eligible EV?
Not all electric cars are created equal, even if they qualify for the grant. Here’s what to keep in mind:
Range: Think about your daily driving habits. Most new EVs offer at least 150 miles on a charge, but if you regularly do longer trips, look for models with bigger batteries.
Charging: Do you have access to home charging, or will you rely on public chargers? Some cars charge faster than others, which can make a big difference if you’re often on the go.
Practicality: Need space for kids, pets, or gear? Check boot space, rear seat comfort, and tech features.
Running Costs: Beyond the upfront savings, EVs are generally cheaper to run than petrol or diesel cars. Fewer moving parts mean lower maintenance bills, and electricity is usually less expensive than fuel.
Resale Value: As the market matures, some EVs hold their value better than others. Look for models with strong reputations and good reviews.
How Much Could You Really Save with the Grant?
Let’s crunch some numbers. If you’re buying a car that qualifies for the full £3,750 grant, that could bring a £35,000 EV down to just over £31,000. Combine that with lower running costs—recent research from the RAC Foundation suggests EV drivers can save up to £700 a year on fuel and maintenance compared to petrol cars—and the long-term savings start to add up.
Plus, with more affordable finance deals and growing support for home charging, the total cost of ownership is becoming more competitive every year.
Are There Any Downsides or Limitations to the Grant?
While the ECG is a big step forward, it’s not a silver bullet. The grant only applies to new cars under £37,000, so premium models are out of reach for now. Also, the amount you get depends on where the car is made, which can be a bit confusing. And like any government scheme, there’s always the chance it could change or end with little notice—so if you’re interested, it pays to act sooner rather than later.
What’s the Smartest Way to Take Advantage of the Grant?
If you’re ready to make the switch, here’s a quick roadmap:
1. Check the latest eligibility list for qualifying models.
2. Compare deals from different dealers—some may offer extra incentives on top of the grant.
3. Think about your charging options at home and on the road.
4. Take a few test drives to see which EV fits your lifestyle best.
5. Move quickly—grants can be withdrawn or changed as budgets shift.
The Bottom Line: Is Now the Right Time to Go Electric?
With the ECG back in play, there’s never been a better time to consider an electric car in the UK. The combination of upfront savings, lower running costs, and a growing choice of models makes EVs more accessible than ever. Whether you’re after a stylish city runabout or a practical family car, there’s something on the list for everyone.
And let’s face it—driving past petrol stations without a second thought? That’s a feeling worth chasing.