UK electric fleet grants and incentives 2026

The headline scheme for small fleets buying their first electric vans. The grant is applied automatically at the point of purchase by participating dealers - no application paperwork.

£2,500 for small vans under 2,500 kg GVW, capped at 35% of the vehicle price (so a £12k van gets the full discount, but a cheaper van will be capped lower).

£5,000 for large vans between 2,500 and 4,250 kg GVW, also capped at 35%.

The Plug-in Van and Truck Grant runs until at least April 2027; 2026/27 grant levels have not yet been announced. Grants are limited, so confirm the dealer can still apply the discount when you order.

For zero-emission trucks above the 4,250 kg van threshold. The grant scales with vehicle weight to reflect the higher capital cost of heavier electric trucks.

£15,000 for 4.25-12 t GVW (capped at 20% of the price); £37,000 for 12-18 t, £52,000 for 18-26 t and £81,000 over 26 t (each capped at 40% of the price). Like the Plug-in Van Grant, it is applied automatically at the point of sale.

Awarded to a wider set of HGVs including N2 and N3 category rigids and tractor units. Volvo Trucks were the first manufacturer to have all four eligible models (FE/FL/FM/FH Electric) approved under the scheme.

A £170 million programme running from April 2026 to 2030. The first application window covered up to 70% of charge point and civils costs, up to £1m per organisation across all sites. This is the most generous fleet charging subsidy the UK has offered.

Aimed at operators of zero-emission HGVs, vans and coaches who already have at least one electric commercial vehicle on the fleet. The "civils" coverage matters - groundworks and DNO connection upgrades are usually the biggest depot-charging line item.

Applications are made in funding windows. The first ran from 25 March to 30 June 2026, with works to finish by 31 March 2027. The second window is expected to open on 28 October 2026 and close on 29 January 2027, for projects delivered by 31 March 2028; its grant rate and cap have not yet been confirmed. Plan ahead - you cannot retrofit eligibility after the fact.

The longstanding scheme for any UK business installing chargers for staff or fleet use. The per-socket grant increased from £350 to £500 in April 2026, and can be claimed for up to 40 sockets across all your sites.

Best suited to smaller depots where the Depot Charging Scheme would be overkill, or for offices/sites that mostly need to support employee EVs rather than commercial vehicles. The schemes are not stackable per socket - pick the one that suits the site.

Confirmed to close 31 March 2027, with no announcement yet of a successor. If you have planned office charger installs, this is the cheapest window you will see.

Zero-emission vans have a £0 van benefit charge for the entire tax year. By contrast, conventional vans available for private use attract a £4,170 charge for 2026/27, taxed as a benefit at the driver's marginal rate.

For a 40% taxpayer using a diesel van privately, that is roughly £1,668/year in personal tax. Switching the same driver to an electric van removes that liability entirely.

Note: this is the van rule, which differs from the electric car rule. Electric company cars do attract a BiK charge (4% for 2026/27, rising over time). If you classify a vehicle as a car for HMRC purposes (most ID. Buzz Cargo, for example, are vans), the van rate applies.

Electric vans are fully exempt from the daily charge in every UK clean-air scheme: London ULEZ, the Greater London LEZ, and the Class B/C/D Clean Air Zones in Birmingham, Bristol, Bath, Bradford, Portsmouth, Sheffield and Newcastle/Gateshead.

The savings stack with the BiK saving. For a London-based fleet, ULEZ alone is £12.50/day per non-compliant van, which works out to ~£3,250/year for a five-day-a-week city operation.

Important 2026 change: the London Congestion Charge Cleaner Vehicle Discount ended on 25 December 2025, and the daily charge rose to £18 on 2 January 2026. Electric vans and HGVs registered for Auto Pay get a 50% discount (£9/day); without Auto Pay they pay the full charge. If your routes touch the central zone, recalculate your TCO assumptions.

Businesses can claim a 100% first-year capital allowanceon new and unused zero-emission vans. The full cost is deductible against profits in the year of purchase, reducing the company's Corporation Tax bill.

The allowance is on the price after the grant. For a company at the 25% main Corporation Tax rate, a £45,000 electric van bought with the £5,000 Plug-in Van Grant qualifies on £40,000, a £10,000 tax saving in the year of purchase.

Available to companies and unincorporated businesses. The vehicle must be new (not used) and bought outright or via hire purchase - leased vans use a different rules track.