Grab your electric van grant while you can
One benefit that’s managed to avoid the chop relates to electric vehicles. What’s available and how might it help if you’re in the market for a new commercial vehicle?
The government has announced that £120m is available to drivers, cabbies and businesses who want to make the switch to electric vehicles. The money comes through the “plug-in van grant”, which has been extended for another twelve months to April 2026. Under the 2024/2025 electric van grant rules, the maximum saving for 3.5-tonne electric vans is £5,000, while the maximum reduction for smaller vans up to 2.5-tonnes is £2,500. This will now be extended to 2025/26. Heavier electric vans such as those with 4.25-tonne ratings and N categorisation continue to qualify for the small truck grant, which offers an incentive of up to £16,000, capped at 20% of the purchase price.
To qualify for the plug-in grant the electrified van must now meet the following standards: 60 miles or more of zero emissions driving range; less than 50g/km CO2 emissions.The plug-in taxi grant, due to run out in April, has not been extended. However, grants of up to £4,000 for the purchase of zero emission cabs are being made available. This is less than the £6,000 available until March 31, 2025. A grant of £500 is available for those purchasing new electric motorbikes.
Related Topics
-
Cut your losses to get a tax refund
You invested in a company that’s now in dire straits and your shares are worth next to nothing. Selling them isn’t an option so how do you go about getting some tax back on your bad investment?
-
HMRC updates advisory fuel rates from 1 March 2026
HMRC has published the latest advisory fuel and electric rates (AFRs) for company cars, effective from 1 March 2026. Several rates have changed since the previous quarter. What should employers be aware of?
-
5 April deadline approaching for key tax relief claims
With the end of the 2025/26 tax year now less than seven weeks away, business owners and company directors should remember that several valuable reliefs and elections must be made before 5 April. Which opportunities are about to close?


This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.