BIG News for New Electric Cars in the UK
On 16th July 2025, the UK Government officially launched a game-changing £650-million Electric Car Grant (ECG), a new incentive designed to make owning an electric vehicle (EV) more affordable than ever. This grant applies at the point of sale for eligible new EVs and will be available until the end of the 2028/2029 financial year.
This exciting announcement is part of the government's broader plan to drive the transition to zero-emission vehicles and reach key climate targets.
Why the Electric Car Grant Matters
This new EV grant is a major step forward in supporting the UK’s transition to sustainable transport. It aligns with the government’s target of:
- 80% of new cars
- 70% of new vans
...being zero-emission in Great Britain by 2030, increasing to 100% by 2035.
Even better? It arrives alongside the expansion of the UK’s EV charging infrastructure, which is set to surpass 100,000 charge points, making EV ownership more convenient than ever, both day and night.
Eligibility Criteria for the Electric Car Grant
To benefit from the ECG, vehicles must meet the following eligibility requirements:
- Must be brand new
- On-the-road (OTR) price must be under £37,000
- The battery must make up at least 70% of the vehicle’s total weight
- The manufacturer must:
- Have a verified science-based target
- Achieve an embodied carbon score below a specified threshold
- The vehicle’s production emissions will be assessed based on the carbon intensity of the manufacturing country
The manufacturer is responsible for applying their vehicle to be eligible for the Electric Car Grant, meaning you won't have to do anything to get this discount.
Grant Amounts: Two Sustainability-Based Bands
The grant offers two levels of financial support, depending on how sustainably the vehicle is manufactured:
- Band One – For the most sustainable EVs, you could receive up to £3,750
- Band Two – For vehicles meeting some sustainability criteria, up to £1,500 is available
What This Means for You as an EV Buyer
To summarise: if you're looking to purchase a new electric car under £37,000, and the vehicle meets the sustainability standards, you could receive a significant discount thanks to this new government incentive without the hassle of filling out any additional documents or forms. Currently there is no mention of any impact to the Motability offers
This is in addition to other existing benefits of electric vehicles, such as:
- Lower running costs
- Zero tailpipe emissions
- Access to low-emission zones
Electric Cars Eligible at Griffin Mill
At Griffin Mill, we’re excited about what this means for our customers. Some highlights:
Leapmotor: Cheapest EV on the Market
Leapmotor has taken this one step further, matching the government ECG with their own contribution, making the Leapmotor T03 the most affordable EV available in the UK today. Click here to find out more about this fantastic incentive by Leapmotor
Our EV Range Is Growing
While manufacturers are still confirming which models will be eligible under this grant, we expect a wide range of options across major brands to qualify very soon. Click here to explore our fantastic range of new-EV offers
Talk to the Experts at Griffin Mill
Our dedicated teams are here to help guide you through the EV buying process and answer any questions about the Electric Car Grant or vehicle eligibility.
Contact Your Preferred Brand Specialist: