Vauxhall has become the first manufacturer to cut the price of its electric cars in response to the recent shock reduction in the UK government’s Plug-in Car Grant (PiCG).
The government slashed the PiCG for buyers of new EVs by £1000 last week, while also reducing the number of cars eligible for the scheme.
It previously offered buyers of electric cars 35% off the purchase price up to a maximum of £2500. That maximum has now been cut to £1500. At the same time, the maximum recommended retail price of vehicles eligible for the grant has been reduced from £35,000 to £32,000.
As a result, the Corsa-e now starts at £25,805 post-PicG and the Mokka-e at £29,365. Previously, the supermini was priced from £27,805 and the crossover from £31,365.
At the time the grant cut was announced, Vauxhall managing director Paul Willcox said: “Today’s changes provide a confusing message to UK consumers and will harm EV adoption at a time when we need to be doing all we possibly can if we are to stand a chance to move the UK to electrified only vehicles by 2030.”
He added: “We understand the government’s desire to phase out the plug-in vehicle grant at some point, we really need to see a more strategic, longer-term approach.”
While Vauxhall maintains this critical stance on the grant cut, it has dropped its EV prices so not to lose potential buyers, a move that the government was likely hoping for and one that other car makers are set to follow.
Addressing the Corsa-e and Mokka-e price drop, Willcox commented: “Vauxhall wants to move the UK to electric motoring as quickly as possible, which is why we have committed to being an electric-only brand from 2028.
“In light of a further evolution to the Government Plug-in Car Grant, we've taken the decision to change our pricing policy on our all-electric Corsa-e and Mokka-e models.
“With more attainable pricing from significant reductions on both models, as well as the grant, we hope to put zero-emissions-in-use motoring within the reach of even more British motorists.”