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BVRLA calls on fleet industry to urge Government to preserve plug-in grants

Date: 11 February 2020   |   Author: Illya Verpraet

The vehicle rental and leasing association says that the fleet sector must act now to safeguard the plug-in car and van grants.

The plug-in grants are set to expire in March, with no commitment from the Government to renew them. Currently, the Government will pay for 35% of the price of a car (up to £3,500) that emits less than 50g/km of CO2 and can travel at least 70 miles on electric power alone.

It's expected the Government will give details of the future of financial incentives for low-emission vehicles in its budget, which it is set to announce on 11 March.

The BVRLA is urging the fleet sector to write to their local MP and ask for their support in securing long-term support for the grants, which are still vital in bridging the price gap between electric and conventionally-powered vehicles.

It has set up a campaign page on its website for more information on what to do.

BVRLA chief executive Gerry Keaney said: "Our members are already buying tens of thousands of electric vehicles each year and are helping businesses and individuals across the country to make the leap to zero emission motoring.

Referencing the new plans to bring forward the petrol and diesel ban to 2035 and to also include hybrids in the ban, Keaney said: "By setting these new decarbonisation targets, the Government is in danger of writing a cheque that the fleet sector cannot cash."

"Businesses are being asked to invest billions of pounds in new electric vehicles and infrastructure over a short timescale. Tax incentives are vital, but so are the plug-in grants. They need to be maintained in some form until at least 2025 if we are to deliver the transition that is required."