**New £1,500 Discount Announced for First Four Electric Vehicles Under Government Scheme**
Drivers across the UK received a welcome boost this week, with the confirmation that four electric vehicle (EV) models are now eligible for a government-backed £1,500 discount. The initiative, officially announced on Tuesday, 5th August, is the first tangible result of the country’s latest effort to make eco-friendly motoring both affordable and attainable for more households.
Transport Secretary Heidi Alexander revealed that the inaugural beneficiaries of this Electric Car Grant (ECG) scheme are four models from Citroën’s electric range. These are the Citroën ë-C3, ë-C4, ë-C5, and the ë-Berlingo. From today, prospective buyers of these vehicles will benefit from an automatic £1,500 reduction at point of sale, with no forms or administrative hurdles required.
The ECG scheme forms part of a broader £650 million government commitment to speed up the adoption of zero-emission vehicles. It builds upon recent record investments in infrastructure and industry support, with the intention to continue expanding the list of eligible vehicles in the coming weeks. This is expected to have wide-ranging implications for consumers, manufacturers, and the UK’s climate objectives.
One of the primary aims of the new grant is to simplify the process for both manufacturers and consumers. Manufacturers are now permitted to apply the discount instantly, provided their vehicles meet rigorous sustainability standards set out in the scheme. As the rollout gathers pace, further models are anticipated to qualify, giving drivers more choice in the rapidly evolving EV market.
The backdrop to this announcement is a burgeoning UK public charging network, which has seen dramatic increases over the past year. Since July 2024 alone, more than 17,300 new public charging points have been installed—a 27% annual rise—bringing the nation-wide total to approximately 82,000. Authorities confirm a new charger is being added every half hour, underpinning a broader government strategy to eliminate the perceived barriers to EV adoption.
Heidi Alexander described the initiative as a cornerstone of the government’s wider Plan for Change, adding: “With the first four models approved today and more to come, this summer we’re making ownership of electric cars more affordable and straightforward for thousands. This effort is not only about cleaner air, but also about supporting jobs, aiding manufacturers and helping consumers lower their day-to-day expenses.”
For many potential buyers, the upfront price differential between electric and traditional cars has been a major deterrent. With these discounts, and with estimates that EV owners can save up to £1,500 per year on fuel and maintenance, the cost argument in favour of electric vehicles is becoming increasingly compelling. Recent government calculations show that, with smart home charging, running costs can drop as low as 2p per mile—making journeys such as London to Birmingham cost just £2.50 in energy.
The ECG follows a number of related policy moves, including a £63 million investment in charging access for homes without driveways and a £1.6 billion allocation to address potholes. In tandem, measures like the ongoing fuel duty freeze and industry support schemes are designed to put more money back in motorists’ pockets and to guarantee that this transition leaves nobody behind.
Collaboration with industry remains central to the government’s approach. Streamlined applications and new regulation guidance introduced by the Department for Transport are aimed at ensuring carmakers can swiftly bring further EVs into the grant’s remit. The UK’s broader strategy includes spending £4.5 billion on electrifying the nation’s roads, and the introduction of the Zero Emission Vehicle (ZEV) Mandate, which compels carmakers to ramp up the percentage of zero-emission vehicles they produce.
Citroën UK’s Managing Director, Greg Taylor, welcomed the announcement, explaining, “We are delighted to see our entire electric range approved for the grant. This support will make it much easier for British families and businesses to embrace electric vehicles.”
Industry observers note that with Britain recently becoming the leading EV market in Europe and with sales rising by 20% in the past year, momentum continues to gather not just in infrastructure or policy, but among everyday drivers seeking to make the switch.
This move strengthens the UK’s ambition to lead on green motoring and car manufacturing, not just in Europe but globally, while ensuring consumers see the benefits reflected in their wallets as well as in cleaner air for all.