Which Cars Actually Qualify for the UK’s New EV Grants – And What It Means for Your Wallet

Mike Stamp
Aug 21
3 min read

So, here’s the headline grabber: the UK government has dangled a shiny £650 million pot of EV grants, promising up to £3,750 off a brand-new electric car. Sounds dreamy, right? Except… plot twist… not a single car you can actually buy today qualifies for the full whack. Yep. Nada. Zero. The £3,750 headline discount is basically a unicorn.

But don’t slam the laptop shut just yet. There are 22 models that qualify for the smaller, still handy, £1,500 grant. And if you’re eyeing an EV under £37k, that’s not something to sneeze at. Let’s break it down.

The Full Grant – £3,750 (aka the ‘Unicorn Tier’)

Technically, two cars will qualify: the new Nissan Leaf and Citroën’s e-C5 Aircross. Problem is, neither is on sale yet. It’s like being promised free Glastonbury tickets, but the gates aren’t even open.

So for now, Band 1 is an empty dancefloor.

The £1,500 Grant – Band 2 Heroes

Here’s the actual shopping list – the EVs you can buy right now with a sweet £1,500 shaved off:

Citroën ë-C3, ë-C3 Aircross, ë-C4, ë-C4 X, ë-C5 Aircross, ë-Berlingo
Cupra Born
Nissan Ariya, Nissan Micra
Peugeot e-208, e-2008, e-Rifter
Renault 4, 5, Alpine A290, Megane, Scenic
Vauxhall Astra Electric, Combo Life Electric, Corsa Electric, Frontera Electric, Grandland Electric, Mokka Electric
Volkswagen ID.3

That’s your Band 2 lineup – a mix of small city hatchbacks, family crossovers, and the odd people carrier. Basically, if your life involves school runs, IKEA trips, or battling for a Tesco parking spot, there’s something in here for you.

So, What Does £1,500 Actually Mean in Real Life?

Think of it like this:

Fuel Savings: The average EV driver saves about £1,500 per year on fuel compared to petrol. So with the grant, you’re essentially getting your first year’s fuel ‘free’.
Insurance Offset: EV insurance can be pricier. That £1,500 could soften the blow of your first premium.
Finance Payments: On a typical 4-year finance deal, £1,500 off could knock £30–£40 off your monthly payment. That’s basically your Netflix, Spotify, and Friday night takeaway covered.

Lifestyle Scenarios (Because It’s Never Just About Numbers)

First-Time Buyer: You’re eyeing a Peugeot e-208 because it looks sharp and slips into city parking like a pro. That £1,500 discount? Suddenly you can afford the trim with Apple CarPlay and heated seats.
Young Family: You’re juggling prams, snacks, and the occasional meltdown in the back seat. A Citroën ë-Berlingo with £1,500 off means more space and less guilt when you inevitably spill a juice box on the upholstery.
Weekend Adventurer: You fancy a Cupra Born – sporty, stylish, the EV that says “I surf at weekends” (even if you don’t). The grant just made that lifestyle flex slightly less painful on the wallet.

But Here’s the Catch…

Motoring experts have called the rollout ‘confusing’, ‘ill thought out’, and in one case, ‘shambolic’. Why? Because people are holding off on buying EVs altogether, waiting for the elusive £3,750 discount. It’s like waiting for Taylor Swift tickets to drop to £10 – it’s probably not happening.

Dealers are frustrated. Customers are confused. And the government? Well, they’re promising that more cars will eventually qualify. Watch this space.

The Bigger Picture

Average EV price in the UK: £46,000 (ouch).
Average non-luxury EV: around £33,000 (better).
With a £1,500 grant, some of these eligible models dip under £30k, which feels more realistic for everyday buyers.
Running costs? EVs average 7p per mile on electricity, versus 13–17p for petrol. Over 10,000 miles a year, that’s up to £1,500 saved – grant or no grant.

Final Thoughts

Right now, the £3,750 discount is still a mirage. But £1,500 off cars like the Peugeot e-208, Vauxhall Corsa Electric, or VW ID.3 is nothing to sniff at. Add in lower running costs, no road tax, and the smug joy of gliding past petrol stations – and suddenly EV ownership starts to look a lot more appealing.

So if you’ve been hovering on the edge of going electric, this might just be the gentle nudge (and the extra Netflix-budget cash) you needed.

Because let’s be honest – £1,500 saved is £1,500 you can spend on road trips, home chargers, or, if you’re sensible, a stash of snacks for the glovebox. And really, isn’t that what motoring’s all about?