The New Electric Car Grant: Making EV Ownership Easier and More Affordable

The UK government has just announced fantastic news for anyone thinking about making the switch to electric! As of 15 July 2025, a new Electric Car Grant has been launched to help more people drive electric, while supporting cleaner, greener vehicle production.

This new scheme is designed to make electric vehicles (EVs) more accessible and affordable, especially at a time when many households are keeping a close eye on their budgets.

What Is the Electric Car Grant?

The government is providing £650 million in funding to help drivers buy new, zero-emission cars. If you’re looking to buy a fully electric vehicle priced at £37,000 or under, you could be eligible for a grant of either £1,500 or £3,750, depending on the car’s environmental credentials.

These grants are available from 16 July 2025, and a full list of eligible cars will be regularly updated on the Department for Transport website.

How Much Can I Save?

In addition to the upfront discount from the grant, EV drivers can also enjoy up to £1,500 a year in running cost savings compared to traditional petrol or diesel cars. With cheaper charging, lower maintenance costs, and road tax exemptions, the long-term savings really add up.

Who Can Get the Grant?

To be eligible:

• The vehicle must be zero-emission (fully electric).
• The purchase price must be £37,000 or less.
• The vehicle must meet strict sustainability standards, based on how and where it’s manufactured.

There are two grant levels:

• £3,750 for the most sustainably manufactured vehicles.
• £1,500 for vehicles that meet key environmental criteria.

If a car doesn’t meet the minimum sustainability requirements, it won’t qualify for the grant.

How Are Sustainability Levels Measured?

Grants are linked to how environmentally friendly the vehicle is to produce, not just how it performs on the road. This includes:

• Whether the manufacturer has a verified Science-Based Target (a global standard for reducing carbon emissions).
• The carbon intensity of the electricity used in the country where the vehicle and its battery are assembled.

In short, the greener the production process, the higher the grant available to you.

How Long Will the Grant Be Available?

Funding is available until 2029, but the scheme is subject to change or early closure without notice if the budget runs out. So, if you’re considering an EV, now might be the perfect time to make the move.

What About Charging Support?

The government isn’t just making EVs cheaper to buy—they’re also making them easier to charge. A wider £6 billion+ charging infrastructure plan is being rolled out, which includes:

• £25 million for pavement charging solutions (ideal for people without driveways).
• £30 million for installing chargers at van, coach, and HGV depots.
• £8 million to install chargers at NHS sites.
• Improved road signage for EV charging hubs.

All of this will make charging your EV quicker, easier, and more convenient—no matter where you are.

Final Thoughts

This new Electric Car Grant is a game-changer for anyone considering going electric. With generous funding, clearer sustainability standards, and big steps to improve charging access, owning an EV has never been more appealing.

At Glyn Hopkin, we’re here to help you take full advantage of these new opportunities. Visit your nearest showroom or browse our website to explore our range of eligible electric vehicles and start your journey toward cleaner, cheaper, and more sustainable driving.

View our Kia Gov Grant offers

View our MG EV Gov Grant offers