Purchasing a new vehicle represents a significant financial commitment for countless motorists across the United Kingdom. However, many may be unaware of a substantial Government initiative that could help them save thousands of pounds on their next car. Launched in July 2025, the Electric Car Grant (ECG) scheme is designed to make electric vehicles more accessible and affordable for British drivers.
Substantial Savings Available Through Tiered System
The ECG programme operates through a two-tier system, with the majority of qualifying models falling into Band 2. Vehicles in this category, which includes popular models like the Cupra Born and Nissan Micra, are eligible for savings of up to £1,500. This discount is applied directly at the point of sale, meaning drivers don't need to navigate complex paperwork or separate application forms.
For those seeking even greater savings, eight specific models qualify for the more generous Band 1 category. These vehicles benefit from discounts of up to £3,750, representing a significant reduction in the overall purchase price. The Band 1 list includes notable models such as the Citroën ë-C5 Aircross Long Range, the Ford E-Tourneo Courier, and the Ford Puma Gen-E.
Nissan LEAF Joins the Scheme with UK Manufacturing Boost
One of the most significant recent developments has been the inclusion of the Nissan LEAF in the Band 1 category, announced in November. Starting at £32,249 including the grant, the LEAF offers an impressive range of up to 386 miles and can charge from 20% to 80% in just 30 minutes. Manufacturing of this model commenced at Nissan's Sunderland plant in December, utilising the facility's 6,000-strong workforce.
Transport Secretary Heidi Alexander commented on this development, stating: "Nissan helped pioneer early EV ownership through the original Leaf, so it is great to see them join our drive to make going electric cheaper and more accessible for families. Alongside saving drivers thousands, this news is also a big boost for manufacturing in the North East – supporting thousands of jobs in the region whilst backing the industry to grow."
Record Electric Vehicle Adoption and Scheme Eligibility
The expansion of the ECG scheme comes at a time when electric vehicle ownership has reached record levels in the UK. Recent figures suggest that electric cars now account for one in every four new car sales, indicating a significant shift in consumer preferences toward more sustainable transportation options.
To qualify for the Government funding, vehicles must meet specific criteria including being M1 passenger vehicles, producing zero exhaust emissions, and offering a minimum battery range of 100 miles (160 kilometres). Additionally, they must satisfy various Government requirements and meet minimum sustainability standards.
James Taylor, Nissan GB Managing Director, expressed enthusiasm about the LEAF's inclusion in the scheme: "We’re absolutely delighted to be able to confirm LEAF’s pricing at £32,249 including the electric car grant, which will deliver an accessible route to EV ownership for our customers. This is fantastic news for people looking to switch to fully electric motoring."
Complete List of Eligible Vehicles
The ECG scheme currently covers 43 different vehicle models across both bands:
Band 1 Vehicles (Up to £3,750 discount):
- Citroën ë-C5 Aircross Long Range
- Ford E-Tourneo Courier
- Ford Puma Gen-E
- MINI Countryman Electric
- Nissan LEAF
- Renault 4
- Renault 5 (52 kWh)
- Renault Alpine A290
Band 2 Vehicles (Up to £1,500 discount):
- Citroën ë-C3, Citroën ë-C3 Aircross and Citroën ë-C3 Urban Range
- Citroën ë-C4 and Citroën ë-C4 X
- Citroën ë-C5 Aircross
- Citroën ë-Berlingo
- Citroën ë-SpaceTourer
- Cupra Born
- DS DS3
- DS N°4
- Kia EV4
- Kia PV5 Passenger
- Nissan Ariya
- Nissan Micra
- Peugeot E-208
- Peugeot E-2008
- Peugeot E-308
- Peugeot E-408
- Peugeot E-Rifter
- Peugeot E-Traveller
- Renault 5 (40 kWh)
- Renault Megane
- Renault Scenic
- Skoda Elroq
- Skoda Enyaq
- Toyota C-HR+
- Toyota Proace City Verso
- Vauxhall Astra Electric
- Vauxhall Combo Life Electric
- Vauxhall Corsa Electric
- Vauxhall Frontera Electric
- Vauxhall Grandland Electric
- Vauxhall Mokka Electric
- Vauxhall Vivaro Life Electric
- Volkswagen ID.3
- Volkswagen ID.4
- Volkswagen ID.5
Since its launch in July 2025, more than 35,000 drivers have already taken advantage of the Electric Car Grant to transition to electric vehicles. With the scheme now covering over 40 models and offering substantial savings, it represents a significant opportunity for British motorists to embrace more sustainable transportation while benefiting from considerable financial incentives.