The UK government’s Electric Car Grant (ECG) continues to make electric vehicles (EVs) more accessible to buyers. Launched in July 2025 with a £650 million budget, the ECG provides direct discounts on qualifying new EVs, accelerating their adoption across the country. Here’s a breakdown of eligible models and potential savings.
How the Grant Works
The ECG operates on a tiered system, offering different discount amounts based on vehicle price and criteria. Cars priced below £37,000 are eligible, but must also meet sustainability, range, and warranty standards.
The grant is divided into two bands:
- Band One: £3,750 discount
- Band Two: £1,500 discount
Eligibility calculations are complex, factoring in emissions from battery production, vehicle assembly, and the carbon footprint of manufacturing countries’ electricity grids. This emphasis on sustainability ensures the ECG supports genuinely eco-friendly options.
Eligible Models: Current List
Here’s a list of EVs currently qualifying for the grant, categorized by discount band:
Band One: £3,750 Discount
- Ford E-Tourneo Courier: Original price £33,690, discounted to £29,940. This five-seat MPV offers up to 2162 liters of cargo space with a range of 177 miles.
- Ford Puma Gen-E: Original price £28,999, discounted to £25,249.
The ECG is designed to encourage wider EV adoption by lowering the initial purchase cost. By factoring in production emissions and grid carbon footprints, the government aims to incentivize manufacturers to prioritize sustainability throughout the vehicle lifecycle.
The grant’s tiered structure ensures that a wider range of EVs can benefit, while the eligibility criteria push the industry towards cleaner manufacturing practices. This approach aligns with broader environmental goals while making electric vehicles more affordable for consumers
