The government reveals the first nine cars that will be eligible for its £5000 ‘Plug-In Car Grant’

The government has announced the names of the first batch of low-carbon cars that will be eligible for a ‘Plug-In Car Grant’ of up to £5000.

Available from 1 January 2011, the discount will apply to any qualifying car with a Co2 rating of less than 75g/km.

The first nine cars to become eligible for the grant are the Mitsubishi iMiEV, Smart fortwo ED, Peugeot iON, Citroen CZero, Nissan Leaf, Tata Vista EV, Toyota Prius Plug-in, Vauxhall Ampera and Chevrolet Volt.

UK 'to take EU lead on EVs'

The grant has been configured to reduce the retail cost by 25 per cent up to a maximum of £5000. However, with VAT at 20 percent from the 1 January, the discount on the Nissan Leaf and Vauxhall Ampera roughly equates to the Government simply making the vehicles VAT-free.

The ‘effectiveness’ of the grant will be reviewed by the government over the next four years, with the first formal review in 2012.

Transport secretary Philip Hammond said: "Government action to support affordable vehicles and more local charging points means we are on the threshold of an exciting green revolution - 2011 could be remembered as the year the electric car took off.'

Read Autocar's first drive of the Chevrolet Volt

The government says more models will be added to the list from next year. However, the ‘Plug-In Grant’ is currently subject to a limit of £300m over the life of the current parliament – which equates to around 15,000 registrations per year between next January and 2015.

The remaining £100m from the Government fund designed to ‘promote the uptake of ‘ultra-low carbon vehicle technologies’ will be split between £20m for the installation of re-charging infrastructure and £80m ‘to support research and development activities’.

The government also today revealed that five areas of the UK (the East of England, Midlands, Greater Manchester, Northern Ireland and Scotland) are to receive millions in order to install 4600 workplace and domestic electric charging points.Read Autocar's first drive of the Vauxhall AmperaRead Autocar's first drive of the Nissan Leaf

Our Verdict

Vauxhall Ampera
The handsome Ampera is primarily propelled by electric motors; a 1.4-litre petrol engine is used to charge the car's batteries

The Vauxhall Ampera promises the ability to cover 175 miles on a gallon of petrol. Does it deliver?

Join the debate

Comments
21

14 December 2010

Still makes them unaffordable for many

14 December 2010

Super use of taxpayers money. Chasing green fantasies. Real innovations sell themselves, they don't need incentives. Incentives are for unattractive products. The only good ones in the realworld is the Chevy + Vauxhall.

14 December 2010

What happened to the electric Mini?

14 December 2010

Is this grant limited to private users or is it applicable to companies as well?

 

 

It's all about the twisties........

14 December 2010

Vauxhall today confirms the Ampera will cost from £28,995 after the grant.


14 December 2010

Although this article says the government is allowing a total grant of £300 million over the life of this parliament the BBC website tells us the amount available to give up to (maximum 25%) a £5k per car subsidy is a total of £43 million or 8,600 cars. The subsidy is available for purchasing cars also for leasing them where the user receives lower monthly payments but I have not seen if the subsidies apply to business as well as private motorists. So this grant will only benefit a very few and be meaningless as to reducing CO2 emissions. Also as I understand the Autocar article any form of propulsion in a car that gives a test cycle result of lower than 75 g/km qualifies for the grant.

14 December 2010

[quote TegTypeR]TegTypeR wrote the following post at Dec 14, 2010 9:05 AM:

Is this grant limited to private users or is it applicable to companies as well?

[/quote]

Yes, it will be available for company cars

14 December 2010

Ironic that this was announced on the same day as massive cuts to local authorities, which are bound to affect services to the most vulnerable in our society. Never mind, it will enable our ministers to look big in front of their mates when they jet off to climate change conferences at our expense.

14 December 2010

Can't help but think all that money would be better spent elsewhere in an age of austerity.

14 December 2010

[quote bomb]Vauxhall today confirms the Ampera will cost from £28,995 after the grant[/quote]

AFTER! ;-O

Way too expensive

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