The government tightens criteria for Electric Car Grant
The government has recently made changes to the criteria for its Electric Car Grant, in an effort to ensure that fewer cars are eligible for discounts solely based on one variant being priced under the £37,000 threshold.
The Electric Car Grant (ECG) was introduced last month, offering discounts of either £1500 or £3750 to electric cars priced at £37,000 or under. Initially, the eligibility for each model was determined by the cheapest version of each powertrain variant, allowing more expensive trim levels to qualify for the grant if one version was priced under the threshold.
However, it has been revealed that there will now be a new upper threshold of £42,000 for pricier variants of cars that fall under the £37,000 mark.
For example, previously all front-driven versions of the Nissan Ariya qualified for the £1500 grant, including the new sub-£37,000 entry variant, up to the £44,500 Evolve trim which uses the same drivetrain. With the introduction of the £42,000 threshold, fewer versions of the front-driven Ariya will now be eligible for the grant.
This change will take effect from midnight tonight (00:01 on 29 August), with the government set to publish a new list of eligible vehicles.
In a statement to Autocar, the Department for Transport stated, “The Electric Car Grant is putting money back in people’s pockets whilst also providing a vital boost for industry. The maximum price limit ensures only eligible cars priced at the lower end of the market can qualify for the discounts, ensuring government support is targeted.”
This update follows the recent announcement that the Ford Puma Gen-E and E-Tourneo Courier have been awarded the full £3750 discount, bringing the total number of qualifying models to 28, with more expected to be added in the coming weeks.
