The funding forms part of Labour’s pledge to allocate £2.3bn to ease the UK’s transition to EVs.
More than 382,000 EVs were purchased in the UK in 2025, with numbers up one-fifth from the prior year. The DfT notes that there are now more than 74,000 public chargers around the UK, with 20,000 added in 2024 alone. The Government’s 2024 Budget announced £200m to continue powering rollout of electric
Plug-in van grant
The DfT has today (25 February) confirmed that the existing plug-in van grant will be extended for a further year. Under the grant, businesses and van drivers are able to receive grants of up to £2,500 when buying vans of up to 2.5 tonnes, and up to £5,000 when buying vans heavier than 4.25 tonnes.
The scheme has aided the adoption of of more than 8,000 electric and zero-emission vans since its inception in 2012.
In addition to the grants, the Government will also remove a requirement for additional training that is currently in effect only for zero-emission vans. This, they said, would remove the red tape around buying EVs and allow companies to more easily hire drivers for their electrified fleets.
Several other changes are being made to facilitate greater take-up of EVs, including £4,000 being made available for taxi drivers to buy zero-emission black cabs; an increase of the plug-in wheelchair-accessible vehicle grant from £35,000 to £50,000; and a continuation of the £500 grant for bikers to buy electric motorbikes.