How to save £5,000 on the price of a new car – Money tip #169

1 min read Published: 08 Mar 2012

 Motorists purchasing a new qualifying ultra-low emission car can receive up to 25% (up to a maximum £5,000) towards the cost of the car under the Government's Plug-in Car Grant.

What is the Plug-in Car Grant?

The government is adopting a 'technology neutral' approach to reducing emissions in transport. Cars with emissions of 75g CO2/km or less, including electric, hybrid and hydrogen-fuelled vehicles are all potentially eligible for the subsidy

The Plug-in Car Grant was designed to make the costs of qualifying cars more comparable with their petrol or diesel equivalent.

How much could I save with the Plug-in Car Grant?

You could save up to £5,000 off the price of  eleven qualifying cars. The scheme is open to both individuals and businesses.

What are the eligible cars under the Plug-in Car Grant?

- Chevrolet Volt

- Citroen CZero

- Mia

- Mitsubishi i-MiEV

- Nissan Leaf

- Peugeot iON

- Renault Fluence ZE

- Smart fortwo electric drive

- Tata Vista

- Toyota Prius Plug-in Hybrid

- Vauxhall Ampera

What is the application process for the Plug-in Car Grant?

There are no application forms to fill in. The dealership or vendor you are buying your car from will complete all the paperwork for you. The amount of your grant wil be deducted from the price at the point of purchase.