The £5000 Plug-in Car Grant scheme has been extended until at least February 2016, the government has announced.
The scheme, last renewed in 2014, offers motorists £5000 off the price of plug-in cars that emit 75g/km of CO2 or less.
At the time of its last renewal, it was announced that the deal would be reviewed when 50,000 vehicles were sold through the scheme, a figure that is expected to be met in November this year after a 256% growth in ultra-low emission vehicle registrations in the first six months of 2015, compared with the same period in 2014.
Andrew Jones MP, Transport Minister, said: “The UK is now the fastest growing market for electric vehicles in Europe.
“We will continue to invest to help make this technology affordable to everyone and to secure the UK’s position as a global leader.”
Reacting to the news, Society of Motor Manufacturers chief executive Mike Hawes said: “With British buyers taking to ultra-low emission vehicles faster than anyone else in Europe, the extension of the Plug-in Car Grant is good news.
“The market for these vehicles remains small, however, so it is essential that the government continues to provide effective incentives for their uptake - including the Plug-in Car Grant and other measures.”
The Mitsubishi Outlander PHEV is the UK's best-selling plug-in hybrid, and the manufacturer welcomed news of the renewal.
“We have seen ultra-low emission vehicles rapidly establish a 1% share of UK sales in a period of time unprecedented in automotive terms,” said Lance Bradley, managing director of Mitsubishi Motors.
“We welcome the government’s decision to continue these incentives in a way which recognises the fledgling nature of this low emissions market," he added.
More details on how the grant will be structured after February 2016 are expected in the government spending review in November.
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Its a joke the Outlander phev
At least the Leaf is built in the UK.
Future
All good stuff
How wonderful to see the HM Govt using UK taxpayers' money to subsidise the Japanese economy. This is exactly what is needed; it should bring a great many jobs and benefits to the United Kingdom's manufacturing sector. Better still, the affluent, urbanite greens who buy PHEVs are clearly enduring tough times, so for them to get free money from taxpayers is entirely just and proper. It is clear that poor people don't really need it. All this should help with the soaring price of oil and fuel, not to mention the soaring temperature of the planet, which PHEVs will of course fix.
Norma Smellons wrote: Autocar
The Nissan Leaf is another strong seller and it's built in Sunderland. Ain't all black + white, pal.
@Mini2
grants
yea, like the leaf is the only foreign car receiving grants. Just think how much the Tata for building cars in the uk. Although even that's not enough as they've started to look abroad.
Time to get off your anti EV horse and look to the future Norma, like most people have
@xxxx
Not sure what this means. Are a couple of words missing? Here's a tip - if you're saying something then make sure it has a point. That makes it interesting for the other person.
@ norma smellons
Atrocious use of public money.