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
-
Uber loses VAT margin scheme appeal
The Court of Appeal has ruled that Uber cannot use the Tour Operators Margin Scheme (TOMS) when accounting for VAT on its ride-hailing services. The decision could have significant implications for businesses that act as intermediaries when supplying services to consumers. What was the dispute about?
-
Investment bond - undercover tax trap?
Inheritance tax is a hot topic but most couples only need to be concerned if they are worth more than £1m. What you don’t hear about is the income tax charge on investment bonds that’s payable on death. Can you reduce the tax bill before it’s too late?
-
When are staff discounts tax efficient?