Electric Vehicles: Rural Areas

(asked on 12th November 2021) - View Source

Question to the Department for Transport:

To ask the Secretary of State for Transport, what assessment he has made of the potential merits of weighting plug-in vehicle grants towards rural postcodes.


Answered by
Trudy Harrison Portrait
Trudy Harrison
This question was answered on 17th November 2021

Government grants have been available since 2010 to incentivise more people to make the transition to electric vehicles (EVs) – so far nearly £1.5 billion has been invested, supporting the purchase of over 410,000 vehicles. The grants are offered at the point of sale across the UK on all eligible vehicles and are factored into the advertised price. We have not made an assessment of the merits of weighting plug-in vehicle grants towards rural areas. Doing this could increase the complexity of the scheme and increase the risk of fraud.

Government has recently committed an additional £620m to support the transition to electric vehicles in addition to the £582m committed for the Plug in Vehicle Grant schemes at Spending Review 2020. This additional funding will be focused on supporting the rollout of charging infrastructure and targeted plug-in vehicle grants. The Government also offers generous tax incentives including favourable company car tax rates for EVs. These rates have been a strong driver of sales and are confirmed until FY24/25. Local areas can also put in their own measures to encourage EV ownership, such as reduced rates for residential parking permits.

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