The UK’s Electric Car Grant (ECG) is now firmly established and bringing real savings to electric car buyers across the country, as ministers, manufacturers and dealerships make electric vehicles more affordable.
Introduced in July 2025 as part of the government’s wider Plan for Change strategy, the grant aims to slash up to £3,750 off the price of qualifying new electric cars. The scheme, backed by billions in funding and extended in November’s budget, is designed to close the gap between the upfront cost of EVs and their petrol or diesel equivalents – a key barrier cited by drivers reluctant to switch.
At its heart the ECG works by offering two tiers of discount, depending on a car’s environmental credentials. Band 1 cars, scored against the government’s sustainability criteria, qualify for the full £3,750 discount. Band 2 cars, which meet a slightly lower set of criteria, are eligible for a £1,500 discount. Dealers deduct the grant at point of sale – there’s nothing that buyers have to do.
The scheme’s eligibility rules require an electric car have a minimum battery range of 100 miles and carry specific warranty terms for both the vehicle and its battery. Vehicles must also meet the price cap rules – generally starting below a set threshold – to qualify.
Taken together, these rules have unlocked a broad and growing list of eligible models from a huge variety of car brands. Government figures show that more than 40,000 drivers have already benefited from the scheme since launch, and an extra £1.5 billion announced in the Autumn Budget has increased funding while extending the programme’s life towards 2030.
EVs that get the biggest £3,750 Electric Car Grant discount
Among the Band 1 beneficiaries – cars that qualify for the maximum £3,750 saving – are several models that have quickly become familiar on British roads, with these cars benefitting from an instant sales boost:
• Citroën ë-C5 Aircross Long Range
• Ford E-Tourneo Courier
These vehicles are among the greenest in the scheme, meeting the highest sustainability criteria and ticking all the boxes on range and warranty. For many, this translates to significant reductions: a family-friendly crossover or a compact city car can now cost thousands less than before.
EVs that get the £1,500 Electric Car Grant discount
The Band 2 list, eligible for the £1,500 grant, spans a wide range of everyday EVs from European and Japanese marques. They include models that may not meet the top-tier criteria but still deliver strong electric performance and practical appeal:
• Citroen e-C3, e-C3 Aircross and e-C3 Urban Range
• Citroen e-Berlingo
• Peugeot E-Rifter
• Peugeot E-Traveller
• Renault Megane
• Toyota C-HR+
• Toyota Proace City Verso
• Vauxhall Combo Life Electric
• Vauxhall Grandland Electric
• Vauxhall Vivaro Life Electric
Some of the names on the Band 2 roster are familiar to drivers considering their first EV. The Kia EV4 and PV5, for example, only recently joined the list, underscoring how fresh entries continue to join the scheme and broaden choice for buyers.
Industry reaction to the scheme has been broadly positive. Early in the rollout, the Ford Puma Gen-E – the electric version of the UK’s best-selling car – became the first model confirmed to qualify for the full grant, emphasising how even volume sellers can benefit. Manufacturers such as Renault have since confirmed eligibility across most of their electric lineup – from practical hatchbacks to family SUVs – while Nissan’s latest Leaf, built in Sunderland, is also expected to feature prominently among Band 1 discounts as it arrives on UK forecourts.
Critics still warn that the ECG alone won’t solve all barriers to electrification – charging infrastructure remains patchy outside urban centres and consumer awareness of total cost of ownership is mixed. But with the UK recently recording that plug-in vehicles account for a growing share of new registrations, the grant appears to have nudged more buyers into showrooms, according to early data and surveys.
For those in the market for a new electric car, the list of eligible models is now something to check early in the research process – whether chasing a band-one saving that cuts thousands off the price tag, or a band-two rebate that still sweetens the deal. With the ECG now embedded in UK EV policy and EV prices dropping as more and more affordable models are launched, buyers have a clearer path to making the switch to zero-emission driving than at any point in recent years.
Read MoreUber, Lyft and Chinese tech giant to bring driverless taxis to London
I’ve been driving the new Tesla Model Y Standard, here’s my honest review
Mercedes-Benz S-Class review: The S-Class of plug-in hybrids
Tesla Model Y Standard review – less is more for Tesla’s cut-price SUV
Living with an electric Hyundai Ioniq 9: your move, Range Rover
I’ve seen the new Jaguar GT uncovered – here’s my honest verdict
Chery Tiggo 9 review – it’s big, clever and goes a long way in luxury
