Electric vehicles (EVs) are increasingly becoming the preferred mode of transport for many due to their environmental and economic benefits. The UK government has been particularly supportive of this shift, introducing a variety of grants to encourage more individuals and businesses to make the switch to electric. These grants cover various aspects from the purchase of the vehicle itself to the infrastructure necessary for charging. But what exactly do these grants entail?
The Electric Vehicle Homecharge Scheme (EVHS)
The Electric Vehicle Homecharge Scheme (EVHS) is one of the key grants offered by the UK government for electric vehicle owners. This initiative seeks to help private individuals install charging points at their residences, thus addressing one of the critical challenges of EV ownership: easy and convenient charging.
Under the EVHS, eligible individuals can get up to 75% off the cost of installing a charging point at home. The grant caps at £350 but considering that the average cost of a home charging point is about £800, this represents significant savings.
To qualify for this grant, one has to have purchased a new or second-hand electric vehicle from October 1, 2016. The vehicle can be fully electric or a plug-in hybrid. It’s also important to note that the grant only applies to approved charging points. The Office for Zero Emission Vehicles (OZEV) provides a list of approved chargepoints and installers.
The Workplace Charging Scheme (WCS)
The Workplace Charging Scheme (WCS) is another key grant from the UK government aimed at businesses. Organisations can benefit from this scheme to install charging points at their premises for their staff or fleet vehicles.
Similar to the EVHS, the WCS also provides up to 75% off the cost of each charging point, capped at £350 per socket. The grant can be claimed for up to 40 sockets, meaning businesses can get up to £14,000 in grant funding.
To be eligible for the WCS, you must be a registered business, charity or public sector organisation. You don’t need to currently have electric vehicles in your fleet, making this an ideal scheme for organisations looking to transition to electric vehicles in the future.
The Plug-In Car Grant (PICG)
The Plug-In Car Grant (PICG) is a popular scheme that has been in place since 2011. It aims to make purchasing an electric vehicle more affordable for the average consumer.
The PICG provides up to £2,500 off the cost of a new electric car. The grant will be applied at the point of purchase, reducing the upfront cost for the buyer. There are certain criteria the vehicle must meet to be eligible for the grant. For instance, it must cost less than £35,000, be able to travel a minimum distance on electric power only, and meet certain emission standards.
Please note that the grant is not available for used cars or vans.
The Electric Vehicle Infrastructure Grant
The UK government recognises that a robust charging infrastructure is critical for the widespread adoption of electric vehicles. Therefore, it has introduced the Electric Vehicle Infrastructure Grant.
This grant supports the development of public charging infrastructure across the UK. Local authorities can apply for funding to install on-street charging points in residential areas without off-street parking, ensuring that those without driveways or garages can still own and charge an electric vehicle.
Tax Benefits for Electric Vehicle Owners
In addition to the direct grants, electric vehicle owners can also benefit from various tax advantages. For instance, electric vehicles are exempt from Vehicle Excise Duty, commonly known as road tax. This could save owners several hundred pounds per year.
Furthermore, company car drivers who opt for an electric vehicle pay a lower Benefit-in-Kind tax rate. This is based on the car’s CO2 emissions and electric cars currently have a rate of 0% – significantly lower than their petrol or diesel counterparts.
Remember, it is important to thoroughly research and understand the specifics of each grant before investing in an electric vehicle or charging point. The UK government is committed to transitioning to a zero-emission future and these grants are a key part of this initiative.
The On-Street Residential Chargepoint Scheme (ORCS)
The On-Street Residential Chargepoint Scheme (ORCS) is another key initiative by the UK government to facilitate the ownership of electric vehicles. This scheme primarily targets owners who don’t have access to off-street parking, a group that might otherwise find it challenging to own an EV due to charging issues.
The ORCS provides funding to local authorities to install on-street charging points in residential areas. Up to 75% of the capital costs can be covered by the grant, with a maximum of £6,500 per charge point. This grant is quite substantial and can significantly ease the burden of installing these charging stations.
It’s worth noting that the ORCS is not available directly to individuals or businesses. Instead, it must be applied for by local authorities who then install the charging points for the benefit of residents. Therefore, if you are an electric vehicle owner or potential owner without private parking, it would be prudent to contact your local authority and enquire about the availability of this scheme in your area.
The Ultra Low Emission Taxi Scheme
Recognising the role that taxis can play in achieving a zero-emission future, the UK government has a specific grant for this sector: The Ultra Low Emission Taxi Scheme.
This scheme provides a grant of up to £7,500 towards the purchase of a new electric taxi. The grant is automatically deducted from the price of the car at the point of purchase, making it easier for taxi operators to switch to electric cars.
To be eligible for this grant, the taxi must be capable of producing zero emissions and have a minimum electric range. The vehicle should also meet certain safety standards.
It’s clear that the UK government is putting in a lot of initiatives to promote the adoption of electric vehicles. The grants are varied and cater for different groups, from private individuals, businesses and even specific sectors like taxis.
Conclusion
In conclusion, the UK government offers an extensive range of government grants targeted at promoting the adoption of electric vehicles. These initiatives not only lower the upfront cost of purchasing an electric car or installing a charging point but also offer ongoing savings through various tax benefits.
Whether you’re a private individual looking to buy an electric car, a business considering a green fleet, or a local authority aiming to provide on-street parking solutions, there’s a suitable grant option for you. Remember to scrutinize the specifics of each scheme to identify the one that best suits your needs.
The adoption of electric vehicles is a crucial step towards achieving the UK’s zero-emission goals. As such, the significance of these grants cannot be overstated. They not only make electric vehicle ownership more affordable but also ensure that the necessary infrastructure, such as charging points, is in place. With such incentives, the future of transport in the UK looks increasingly electric.
