Electric van and truck grant extended

The electric van and truck grant will be extended for another year from April 2026, the government has announced.

The grant was extended until April 2026 this year, with discounts of up to £2,500 for small vans, £5,000 for large vans, £16,000 for small trucks and £25,000 for large trucks.

However, the government has not confirmed the same discounts will be retained from April 2026.

The grant has been extended to support UK fleets make the move to electrification to meet ZEV targets.

According to the Society of Motor Manufacturers and Traders, registrations of fully electric vans rose 73% to 2,442 units in July, but electric vehicles make up less than nine per cent of the LCV market while ZEV target is 16%.

Decisive step

Future of roads minister, Lilian Greenwood, said: “Extending these grants is another decisive step to power Britain’s transition to cleaner transport while backing the industries that keep our economy moving, driving new investment in EVs and helping businesses cut costs and expand.

“Every EV on our roads means healthier communities and new economic opportunities across the country, which is why grants like these are crucial to both accelerating that transition and building a resilient, competitive economy.”

Paul Hollick, chair of the Association of Fleet Professionals (AFP), added: “While it is increasing, the electrification of fleet commercial vehicles is happening much more slowly than originally envisaged because of core operational issues such as price, range, payload, operational downtime, and speed and availability of charging.

“The government probably had no choice but to continue with the grants given these difficulties – any reduction or withdrawal would have dented sales further still.”

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