The car makers already discounting EVs over concerns they'll be excluded from Government grants - how to get up to £3,750 off
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It's barely been a week since the government announced its new Electric Car Grant but already confusion is rife and skepticism at an all time high amongst both car makers and buyers.
With it still unclear which brands and models will pass stringent sustainability criteria built into the official grant scheme, it's been reported that Chinese brands are likely to be excluded on manufacturing-related emissions grounds.
Preempting their exclusion, some East Asian makers have decided to take matters into their own hands and offer grant-style savings of their own - some matching the Government's maximum subsidy of £3,750.
But it's not just Chinese brands who have their own grants.
European manufacturers are in on the act too in a bid to 'proactively' offer car buyers 'financial support' and to 'help them make the switch to electric'.
Brands such as Fiat have always been ahead of the game, offering customers an EV grant since the Conservative Government removed the UK's Plug-In Car Grant back in 2022.
So, while we wait to know for sure which new EVs will be eligible for Labour's subsidies of between £1,500 and £3,750, we've rounded up the car makers that have guaranteed to slash money off their models.
Here are EV brands to go to if you want to secure a decent saving on your new electric car.
The Government has announced its new Electric Car Grant, but its's not yet known which EVs will meet the sustainability criteria, and whether Chinese cars will be eligible
Offer ends: 30 September 2025 but likely to roll over
In terms of UK sales, MG is the most prominent Chinese brand to announce its own Electric Car Grant in recent days.
As of 21 July, MG offers buyers £1,500 off select EV models 'in clear support of the Government's initiative'.
MG will give private buyers £1,500 off its MG4 EV and its S5 EV to support uptake and help buyers out. It's unclear whether MG will qualify for the government grant
The grant will be offered to private buyers of the new MG4 EV and the MGS5 EV.
MG says this is 'over and above any incentives currently offered by MG's 255 UK dealer partners'. At the time of writing this includes a £1,000 test drive offer, so buyers can get up to £2,500 off either new models.
The MG4 EV starts at £26,995 and goes up to £36,496.
The MGS5 EV starts at £28,495 and goes up to £33,495.
In both cases, this is before MG's grant is applied. While the combined test drive and EV grant offer run until 30 September, the EV grant is almost certainly set to continue on, MG told us.
Alfa Romeo is offering its 'Alfa Romeo EV Grant' on all its Junior Elettrica models. Buyers will be able to get £1,500 off the OTR
Offer ends: 30 September 2025
As of the 22 July, Italian car brand Alfa Romeo has introduced the 'Alfa Romeo EV Grant' to 'make the exciting world of electric driving even more accessible'.
The £1,500 grant will be available against the on-the-road (OTR) price and is accessible on top of existing retail offers including 0 per cent APR on Personal Contract Purchase (PCP) and a complimentary EV home charger and standard residential installation.
The grant will be applicable across all Junior Elettrica models; the Elettrica, Elettrica Speciale, Elettrica Intensa, and Elettrica 280 Veloce.
The Elettrica starts at £33,905 before the EV Grant is applied and goes up to the 280 Veloce's £42,305 price tag (again before the grant is applied).
Leapmotor, a Chinese car maker which Stellantis controls in the UK, will offer £1,500 off its T03 (pictured) and $3,750 off its C10 family SUV
Offer ends: 30 September 2025
Also under the Stellantis umbrella, Leapmotor UK was the first Chinese EV maker to offer its own electric car grant, and the first car manufacturer in general to do so after the Government announced its EV Grant.
The Leap-Grant ranges from £1,500 to £3,750 depending on the model.
At the top end, the Leapmotor C10 family SUV will be available with a £3,750 grant applied and will cost £32,750 now.
The small city Leapmotor T03 now has a £1,500 grant applied and will cost £14,495.
By launching its own self-funded EV grant, effective from 18 July, Leapmotor says it is 'taking a proactive leap forward to help electric car buyers'.
Great Wall Motors has brought in a 'Green Car Grant' of £3,750 which can be used towards its Ora 03 model
Offer ends: 30 September 2025
Great Wall Motors (GWM) says it is 'taking decisive action to help drivers switch to electric' by offering a £3,750 'Green Grant'.
As GWM only has one electric car on offer it's easy for customers to know what will be eligible for the grant – the Ora 03.
All Ora 03 (previously known as the 'Funky Cat') models are applicable – the Pure, Pro and GT.
With the grant applied, the cheapest Ora 03 will now be £21,245 after savings.
The grant is also able to be used towards a PCP deposit.
Fiat introduced its 'Fiat E-Grant' in June 2023 after the Conservative Government ended the Plug-In Car Grant in 2022
Offer ends: 30 September 2025
Fiat introduced its own electric vehicle grant, the 'Fiat E-Grant' in June 2023.
The initiative was launched after the previous government regime discontinued its Plug-in Car Grant, and Fiat was the first manufacturer to do this.
At first, Fiat provided a £3,000 incentive for buyers of the Fait 500e and 500e Convertible. But as of January this year, the Italian marque expanded the offering to all customers of the 600e and Abarth 500e models too.
The grant is now built into those two models' OTRs and applied to both retail and fleet customers.
As a result, the 600e and Abarth 500e are both available from £29,975.
The Electric Car Grant (ECG) is the Government's new big hope to drive sales of EVs in the run-up to the end of the decade as it continues to steer towards outlawing the availability of new petrol and diesel cars from 2030.
Transport Secretary Heidi Alexander confirmed the ECG's availability on Monday 14 July, stating: 'The EV grant will not only allow people to keep more of their hard-earned money - it'll help our automotive sector seize one of the biggest opportunities of the 21st century.'
Only cars up to £37,000 qualify for the grant, which rules out premium models, including every Tesla on sale. No Audi, BMW or Mercedes EV will be eligible either.
Some 50 existing models are technically eligible for the grants solely based on their starting price. We've listed these below.
Manufacturers must apply to be eligible for the scheme with their sub-£37,000 cars on a 'first come, first served' basis.
This means that motorists will not need to fill in any additional paperwork to receive the grant, with all administration handled by the car maker, dealership, and the Government.
But because manufacturers must apply for the scheme, it may take weeks for discounted EVs to begin appearing in showrooms, experts say.
The new scheme uses a two-tier system based on 'sustainability criteria' to determine the size of the subsidy provided.
Only the greenest models - considered 'band one' - receiving the full £3,750 amount. Band two cars with a lower eco rating will be eligible for a reduced amount as low as £1,500.
Bands are determined by each maker's Science-Based Target (SBT) - an industry-wide scheme, with manufacturers needing to meet carbon scores below a specific criterion to achieve the highest green standard. Volkswagen and Renault Group have both confirmed they are signed up with the SBT scheme.
Transport Secretary Heidi Alexander said the grant will allow people to 'keep more of their hard-earned money' when buying EVs
ECG bands - which could later expand beyond two tiers - will be determined by how much CO2 is emitted in an EV's production, assessing the energy used during assembly as well as battery manufacturing.
An overall SBT score is weighted 70 per cent for the CO2 produced during battery manufacturing and 30 per cent for vehicle assembly emissions.
Threshold levels to achieve the full £3,750 discount or the lower banded £1,500 have yet to be made public. However, vehicles that don't meet a minimum level will not receive a grant at all.
This could be bad news for Chinese EV makers, which currently offer some of the most competitive prices but could fall foul of the emissions-based rules.
Speaking on the BBC's Today programme on Wednesday (16 July), Transport Minister Lilian Greenwood said she did not expect any cars that are produced in China to be eligible.
'The grant is restricted to those manufacturers that reach minimum environmental standards,' she said.
'And, frankly, if you generate a lot of the electricity that powers your factory through coal power stations, then you are not going to be able to access this grant.'
According to The Telegraph, the Chinese embassy has hit hack and the scheme's stringent requirements.
It has called on the UK to follow World Trade Organisation (WTO) rules and create a 'non-discriminatory environment for investment'.
WTO rules stipulate that members must not give favourable treatment to one country over another when it comes to trading goods and services.
An embassy spokesperson added: 'The Chinese side is closely following the situation and will resolutely safeguard the legitimate rights and interests of Chinese companies.'
China's - and the world's - biggest EV maker, BYD, has informed the DfT of its intention to apply for eligibility for the Electric Car Grant and said it looks forward to being 'part of it'.
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