How will the UK's Plug-in Car Grant work?

Consumers and business buyers can get a 25% discount for eligible electric, plug-in hybrid and hydrogen (capped at £5,000) cars. The government grant will be available at the point of purchase directly from the dealership or manufacturer, so consumers will not be out of pocket or have to go through a separate application process.  It works in a similar way to the Government scrappage scheme; except that you will not have to scrap your old car. There is also a plug-in grant for electric vans.

These green vehicle incentives coincide with the expected mass introduction of electric and plug-in hybrid cars and widespread charging points. Eligible cars will need to meet modern safety standards and have a range and top speed sufficient to give mass market appeal. Find out more...

Less than 0.1 per cent of the UK’s 26 million cars are electric, so there is a huge untapped potential to reduce emissions.
- The Transport Secretary, 2011

The recent scrappage scheme cut CO2 emissions by +/-27% for hundreds of thousands of motorists. If your old banger is properly recycled, it's greener to scrap it as long as you're 'upgrading to a similar model (i.e. swapping a mini for an SUV is unlikely to be very future-friendly.

Do you really need to buy a new car?

Many of us make the mistake of trying out cycling on a cheap bicycle and being put off by the effort required or safety concerns. Howewer, the government's Cycle to Work scheme can help towards investing in a quality bicycle with disc brakes and even electric-assist if you really need it. For those times when four-wheels are better than two, find a green car-hire company or join a car-share club.

Related Items: 

The 2011 Electric Car Guide: Discover the truth about owning and using electric cars.

Owning an Electric Car: Find the truth about using electric cars including range, charging, batteries, environmental impact and everyday use of plug in cars (2010 Edition)

Electric Cars - The Future is Now!