- Customers buying electric cars could end up saving money due to help from the government
- There are several grants available for electric cars, while drivers moving to green power don’t even have to pay vehicle tax
- Read the recommendations below on how to save money whilst purchasing an electric vehicle
There is no doubt that the future of motoring is electric, with new cars and vans powered by petrol and diesel set to not be sold in the UK from 2030.
With the future being green, many motorists may be considering making an early switch to electric power – and drivers may be wondering if they could save any money making the move to green power.
The good news is you can. Drivers who buy an electric vehicle could be entitled to grants that will help with the cost of running it.
And in order to allow more people to move to electric vehicles, the Department for Transport (DfT) recently updated the grant scheme for electric cars, vans and trucks to target less expensive models and reflect a greater range of affordable vehicles available.
How Much Can I Save On The List Price of an Electric Vehicle?
Recently the government announced that grants of up to £2,500 will be available for electric cars priced under £35,000, down from £3,000 for ones under £50,000. This will mean the funding will last longer and be available to more drivers, the DFT said.
It comes as the DFT announced that the number of electric car models priced under £35,000 has increased by almost 50 per cent since 2019, and more than half the models currently on the market will still be eligible for the grant. Transport Minister Rachel Maclean said: “We want as many people as possible to be able to make the switch to electric vehicles as we look to reduce our carbon emissions, strive towards our net-zero ambitions and level up right across the UK.
“The increasing choice of new vehicles, growing demand from customers and rapidly rising number of chargepoints mean that, while the level of funding remains as high as ever, given soaring demand, we are refocusing our vehicle grants on the more affordable zero emission vehicles – where most consumers will be looking and where taxpayers’ money will make more of a difference.
Can I Save Money if I Want to Charge My Electric Vehicle From Home?
People who buy an EV may want to charge their vehicle from home and installing a charging unit means you could be entitled to a grant from the government. The Electric Vehicle Homecharge Scheme (EVHS) covers 75 per cent of the cost capped at £350, including VAT, off the installation price.
The grant works by a customer choosing an EVHS installer to install their chargepoint. The EVHS installer checks that they qualify and then applies on the customer’s behalf. The installer will bill the customer for the price of the installation, less the grant amount they have applied for.
If the application is successful, the installer will be paid the grant amount that they have offset from the customer’s bill. The Office for Zero Emission Vehicles aims to process claims for experienced installers within 30 working days.
Do I Have to Pay Vehicle Tax?
Driving a low-emission vehicle can dramatically reduce the amount of vehicle tax that you pay. Electric cars, which produce zero emissions, are completely exempt from this. The electricity must come from an external source or an electric storage battery not connected to any source of power when the vehicle is moving to be exempt.
Am I Entitled to a Grant If I Want My Employees to Move to Electric Power?
If you run a business and want to encourage your employees to turn to electric power, then you could be entitled to help from the government in covering the installation cost of a charging unit. The Workplace Charging Scheme is designed to provide eligible applicants with support towards the upfront costs of the purchase and installation of EV chargepoints. A grant cap is set at £350 per unit installed and the government will provide this grant for up to 40 chargepoints.
Should I Buy an Electric Vehicle?
With the UK looking to move to green power in the near future, the government is clearly trying to encourage people to make the switch to electric vehicles by offering them tasty money saving opportunities. So for drivers fed up of petrol or diesel power, the switch to electric sooner rather than later may be an appealing one.
Not only do electric cars give you the opportunity to save money, but they are also much better for the environment and will no doubt help in playing a part in achieving net zero carbon emissions by 2050. Electric vehicles are undoubtedly the future, and TechRound’s advice would be to consider the electric cars around and think about making the switch early.