If you’re shopping for a new electric car this year, the Government’s Electric Car Grant (ECG) could knock anything from £1,500 to £3,750 off the price — and the list of eligible models keeps growing.
The grant launched on 15 July 2025 as the replacement for the old Plug-in Car Grant, with a budget of £650 million committed through to the 2028/29 financial year. Unlike the old scheme, applications are handled at the dealer end. You don’t need to fill in any forms — if you buy an eligible car, the discount is applied automatically at the point of sale.
There are two tiers. Band 1 — worth up to £3,750 — goes to EVs assessed as meeting the highest sustainability standards, including renewable energy use above 80% during manufacturing and verified carbon-neutral production. Band 2 — worth up to £1,500 — covers the wider list of EVs that meet a lower threshold. To qualify at all, a car must be priced at £37,000 or less, produce zero tailpipe CO2, have a minimum 100-mile battery range, and meet the warranty and sustainability criteria the Government has set.

So who’s in?
Band 1 — £3,750 off
Currently a smaller group. The cars approved for the full £3,750 discount include:
- Ford Puma Gen-E
- Ford E-Tourneo Courier
- Renault 5 (52kWh battery versions)
- Renault 4 (52kWh)
- Renault Megane E-Tech (52kWh)
- Renault Scenic E-Tech
- Alpine A290
- Nissan Micra (52kWh)
- BMW MINI Countryman Electric
- Citroen ë-C5 Aircross Long Range
Ford was first off the mark, helped by the fact its Puma Gen-E powertrains are built in the UK. The Puma EV is now cheaper to buy than the petrol-powered Puma — a milestone moment.
Band 2 — £1,500 off
A much wider list, currently running to more than 40 cars and growing. Notable inclusions:
- Citroen ë-C3, ë-C3 Aircross, ë-C4, ë-C4 X, ë-C5 Aircross, ë-Berlingo, ë-SpaceTourer
- Peugeot E-208, E-2008, E-308, E-408, E-Rifter, E-Traveller
- Vauxhall Corsa Electric, Astra Electric, Frontera Electric, Mokka Electric, Grandland Electric, Combo Life Electric, Vivaro Life Electric
- Volkswagen ID.3, ID.4, ID.5
- Fiat 600e, Abarth 600e
- Jeep Avenger Electric
- Alfa Romeo Junior Elettrica
- Toyota C-HR+
- Kia EV4 (Air Standard Range and Long Range)
- Skoda Elroq, Enyaq (SE L 85)
- Hyundai Kona Electric
Some manufacturers have layered their own discounts on top
Several brands are running parallel “house” grants to match or exceed the Government rate. Jeep, for instance, has offered an own-brand £3,750 grant across the Avenger Electric range. Suzuki’s “Granted” discount knocks £3,750 off the e Vitara. Jaecoo and Omoda each offer £3,750 deals on their electric models. Hyundai is contributing £3,750 toward Inster deposits on PCP deals, with smaller contributions on Ioniq models. Smart is offering combined manufacturer-plus-grant savings of up to £5,000 on the #1.
Chinese EVs don’t currently qualify
This is worth flagging. The Government has indicated that Chinese-made cars don’t currently meet the scheme’s sustainability criteria — and so far, no Chinese-built model has been approved. Brands like MG and BYD have responded with their own promotional discounting to compete on price.
What it means for drivers
For taxi and private hire drivers who do high mileage, the Electric Car Grant is a useful but not transformational saving. £1,500 to £3,750 off helps, but it’s the running cost gap that does the real heavy lifting — typical home-charging costs of 3-8p per mile against 16-20p for petrol can save high-mileage drivers thousands per year.
The list will keep updating. New approvals come through regularly, and manufacturers are still applying. If you’re shopping for a new EV in 2026, it’s always worth checking the latest position with the dealer or on the official Government list before signing on the dotted line.
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Sources:
- Which cars qualify for the electric car grant? Full ECG list with our best (and worst) picks — Auto Express
- Here are all the cars eligible for the Electric Car Grant — Autotrader
- Electric Car Grant Latest: Jeep Avenger Electric Qualifies for £1,500 Discount — Carwow
- UK Electric Car Grant 2026: Full List of Eligible Cars & £3,750 Savings — Honest John
- Want money off a new EV? Here’s everything eligible for the Electric Car Grant — Top Gear









