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Plug-in car grant

Level of grant available 2018/19 2017/18
Percentage of purchase price 35% 35%

Grant entitlement

To ensure the grant remains sustainable as the UK market for ultra-low emission vehicles develops the government has announced that from 10 November 2018, at the latest, only the cleanest, most environmentally friendly vehicles will be eligible for the grant.

The precise date that rates will change will depend on how many new vehicles are sold during the transition period, which runs from 11 October to 9 November 2018. The transition period limit for category 1 cars is 3,000 and for category 2 and 3 cars it is 6,000. If these limits are reached the new grant rate will come into effect from the next working day. Otherwise grant rates will come in to effect from 23.59 on 9 November 2018 at the latest.

Orders made from 10 November 2018

Category CO₂ emissions (g/km) Zero emission range (miles) Purchase price/RRP Maximum grant
1 Less than 50 At least 70 Any price £3,500

Category 2 and 3 cars will no longer be eligible for the grant.

Orders made before 10 November 2018

Category CO₂ emissions (g/km) Zero emission range (miles) Purchase price/RRP Maximum grant
1 Less than 50 At least 70 Any price £4,500
2 Less than 50 Between 10 and 69 £60,000 or greater £0
Otherwise £2,500
3 Between 50 and 75 At least 20 £60,000 or greater £0
Otherwise £2,500

Category 2 and 3 cars are only eligible if the Recommended Retail Price is less than £60,000 and the full purchase price (including number plates, VED and VAT, but excluding optional extras, delivery charges and the first registration fee) is also below £60,000.

Provided the car dealer has correctly submitted a claim for the vehicle to the Office for Low Emission Vehicles and the car is delivered within 9 months of when the claim was submitted, it will qualify for a grant at the rates that were in effect when the car was ordered.

Grants for electric charging equipment

The government continues to provide grants to help car owners to install a dedicated charge point at home. The electric vehicle homecharge scheme (EVHS) offers £500 per installation, which on average should cover around half of the installation cost.

From 23 November 2016 a 100% first year allowance is available to businesses for expenditure incurred on electric charge point equipment. The allowance will expire on 31 March 2019 for corporation tax purposes and 5 April 2019 for income tax purposes.

Eligibility

To be eligible to apply for the grant a car must: