Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what fiscal steps she is taking to support the purchase of zero-emission and low-emission vehicles.

The Government is fully committed to the transition to electric vehicles. At Autumn Budget 2024, the Government announced £2.3bn of funding for the automotive sector up to 2030 to support the transition to Zero Emission Vehicles. The Government also announced £120m of funding in 2025-26 to support the purchase of new electric vans via the plug-in vehicle grant and to support the manufacture of wheelchair accessible ZEV vehicles.

The Government also provides favourable taxation rates. At Autumn Budget the Government announced new Company Car Tax rates for 2028-29 and 2029-30 which will maintain generous incentives to support electric vehicle take-up.

More widely, HMG provides a range of measures to support people to transition to Zero Emission Vehicles. For instance, over £200 million for 2025-26 was announced at Budget to accelerate EV chargepoint rollout, including funding to support local authorities to install on-street chargepoints across England.