Updated price definition for Plug-in car grant

The Office for Low Emission Vehicles (OLEV) has updated the definition of the price of an electric vehicle for the Plug-in Car Grant (PICG) after the £50,000 eligibility cap was announced at Budget 2020.

Eligible cars must be priced below £50,000 RRP. OLEV's new definition of what can and cannot be used to calculate this price is:


  • VAT, including VAT reclaimable by a business
  • Vehicle manufacturer or dealer’s mandatory extras including delivery charges or administration fees
  • The battery cost (including where the battery is leased)
  • Any non-standard option fitted by the manufacturer or dealer affecting the powertrain.


  • Any non-standard option fitted by the manufacturer or dealer which does not relate to the powertrain
  • Modifications such as ‘police packs’, ambulance/fire engine modifications 
  • Modifications for disabled users
  • Warranty/Insurance and service packages etc
  • First registration fee and cost of first licence
  • Discounts

There is a deadline of 11.59pm on 9 April to get your vehicles on the Plug in Car Grant portal via the previous definition and list of qualifying cars. After this date, the new definition will come into effect and the list of qualifying cars will change.

You should work with supply chain partners to ensure that you can get vehicles on the list to meet the deadline, but let OLEV know if there are any COVID-19 related administrative issues that are preventing you from doing so.