The Government has today (6 January) announced a host of amendments to existing grants for Vans and Trucks, alongside the launch of a consultation on the transition to greener commercial vehicles.
All changes to the Grants announced today are being implemented with immediate effect. The broader consultation is accepting responses until 17 March 2026.
Plug-in Truck Grant (PITrG)
The PITrG has been amended to include four weight categories. These will replace the current large and small categories. Vehicles must be zero emission to be eligible for the PiTrG. The changes announced above will take effect in Great Britain only. Existing grant levels and categories will continue in Northern Ireland.
Alongside these changes, the Government has increased the amount of subsidy available for zero emission trucks and HGVs. Grants will be capped at 40% of the upfront cost of the vehicle.
The grant rate increases will be available until the end of the financial year 2025/26 (to 31 March 2026), when they may revert to previous levels. Government departments responsible for the grant have indicated they are keen for this support to continue into the next financial year, although this is not officially confirmed.
The grant levels and weight categories are as follows:
- Up to £20,000 for trucks over 4.25 and up to 12 tonnes.
- Up to £60,000 for trucks over 12 and up to 18 tonnes.
- Up to £80,000 for trucks over 18 and up to 26 tonnes.
- Up to £120,000 for trucks over 26 tonnes.
As in the current system, grant amounts will be amended manually by the portal administrators at DVLA when any eligible orders placed reach completed status. Orders currently on the portal cannot be cancelled and resubmitted to obtain the new grant rate, if this occurs, then the order will be cancelled.
Plug in Van Grant (PIVG)
The PIVG will no longer support hybrid or range extended vans. From 6 January, vehicles must be zero emission to be eligible for the PiVG.
Any legitimate order of a hybrid or range extended van already placed on the grant portal will be honoured.
Grant rates for eligible zero emission vans remain the same, at up to £5,000 for a large van and up to £2,500 for a small van.
Launch of HGV consultation
Today the government has published a “Consultation on a New Heavy Goods Vehicle CO2 Emissions Regulatory Framework for the United Kingdom”.
This seeks views on regulatory options to reduce emissions from new heavy goods vehicles (HGVs).
The Government has also confirmed its commitment to the previously announced phase out dates of 2035 for the sale of new non-zero emission HGVs weighing up to and including 26 tonnes and 2040 for all new non-zero emission HGVs.
The consultation will be open for 10 weeks and closes on Tuesday 17 March.
The BVRLA welcomes the news regarding the uplift to the truck grant and the launch of the consultation and encourages members to share their views with the team. To provide input into the BVRLA consultation response, or to ask any questions on the Grant changes or consultation, contact [email protected].
The association will be holding an online member workshop on Tuesday 20 January to discuss the consultation and research it is conducting into the HGV market. Let [email protected] know if you/colleagues would be interested in attending and further details will be sent to you.