|Level of grant available||2020/21||2019/20|
|Percentage of purchase price||35%||35%|
|Up to maximum of||£3,000||£3,500|
To ensure the grant remains sustainable as the UK market for ultra-low emission vehicles develops, the Chancellor announced in the March 2020 Budget that the grant will be extended until 2022/23 for the cleanest, most environmentally friendly cars, but with effect from 12 March 2020 the amount of the grant will be reduced to £3,000 and from 10 April 2020 it will only be available for cars with a recommended retail price below £50,000.
|CO₂ emissions||Zero emission range||Cost||Maximum grant|
|Less than 50 (g/km)||At least 70 miles||Up to £50,000||£3,000|
For cars ordered between 12 March and 9 April 2020, the grant will be restricted according to cost, where cost means the actual price paid by the customer, including any discount, where purchase price includes the cost of number plates, Vehicle Excise Duty and VAT, but excludes the cost of any optional extras, delivery charges and the first registration fee.
For orders made before 12 March 2020, provided the car dealer has correctly submitted a claim for the vehicle to the Office for Low Emission Vehicles and the car is delivered within 9 months of when the claim was submitted, it will qualify for a grant at the rates that were in effect when the car was ordered.
The government will continue to provide grants towards the installation of charge points for another year, but from 1 April 2020 the amount of the grant will be reduced from £500 to £350 for each dedicated charge point at home, and £350 for each workplace charge point socket up to a maximum of 40 sockets per organisation.
A 100% first year allowance is available to businesses for expenditure incurred on electric charge point equipment. The availability of the first year allowance will expire on 31 March 2023 for corporation tax purposes and 5 April 2023 for income tax purposes.
To be eligible to apply for the grant a car must: