First four electric cars that you can now get a £1,500 discount to buy

By Pune Media On Aug 5, 2025

Drivers across the UK can save £1,500 on new electric vehicles, with the first eligible models confirmed today (Tuesday 5 August)

UK drivers can now save £1,500 on new electric vehicles, with the first eligible models announced today (Tuesday 5 August), as the government aims to make EV ownership more affordable and accessible for thousands(Image: PA)

Transport Secretary Heidi Alexander has confirmed that buyers can benefit from a £1,500 discount on four Citroën models – the Citroën ë-C3, e-C4, ë-C5 and the ë-Berlingo – starting today. The discount will be automatically applied at the point of purchase, eliminating the need for customers to fill out any paperwork.

These four models are the first to qualify for discounts under the government’s new £650 million Electric Car Grant (ECG) scheme – which will continue to reduce the price of new electric cars as more models are approved in the upcoming days and weeks. For our free daily briefing on the biggest issues facing the nation, sign up to the Wales Matters newsletter here.

The ECG allows car manufacturers to apply discounts at the point of sale for new eligible EVs, which are evaluated against the highest manufacturing sustainability standards.

This grant will assist car manufacturers in boosting their sales, creating jobs and attracting investment amidst global economic challenges, with £650 million of Government funding available until the 2028 to 2029 financial year.

The approval of these initial four models coincides with the addition of over 17,300 public chargepoints to the UK network since July 2024 – a 27% increase on the previous year.

With over 82,000 public charging points currently available and a new one being added every half an hour, the government is building the infrastructure needed for drivers to confidently switch to electric vehicles. This not only supports jobs but also saves people money, in line with the Plan for Change.

“With the first four models approved today and more to come over the next few weeks, this summer we’re making owning an electric car cheaper, easier, and a reality for thousands more people across the UK,” said transport secretary Heidi Alexander.

“Once again we’re delivering our Plan for Change by standing firmly on the side of motorists and manufacturers, driving down costs for consumers, supporting jobs and putting money back in people’s pockets.”

Many drivers have cited the initial cost as a significant barrier to purchasing an electric vehicle. However, these discounts will reduce the price of electric cars, making them more comparable to their petrol and diesel counterparts. Moreover, drivers could save up to £1,500 annually on fuel and running costs by switching to an electric vehicle.

This initiative follows the Department’s £63 million package aimed at enhancing the UK’s charging infrastructure. This includes making it easier for individuals without driveways to charge their vehicles at home, allowing drivers to utilise their home electricity rates and operate their electric vehicle for as little as 2p per mile.

This equates to travelling from London to Birmingham for just £2.50. The new Electric Car Grant, which began accepting applications from manufacturers last month, offers discounts of up to £3,750. This is the latest move demonstrating the government’s support for British drivers. The grant follows a record investment of £1.6 billion to address potholes and a freeze on fuel duty at 5p until spring 2026, saving the average motorist approximately £59 per year.

The government is working hand in glove with the industry to ensure discounts for drivers are made available swiftly, with fresh guidance issued by the Department for Transport to aid manufacturers in applying with ease.

In total, the government is pumping £4.5 billion into accelerating the transition to electric vehicles (EVs), cementing the UK’s status as a global frontrunner in EV adoption – with Britain being the largest EV market in Europe in 2024 and sales rising by a fifth compared to the previous year – whilst also helping to put more money back into people’s pockets.

This recent initiative is in conjunction with the Zero Emission Vehicle (ZEV) Mandate, which obliges manufacturers to sell an increasing proportion of zero-emission vehicles each year. Recent amendments to the mandate provide the industry with the certainty, stability and backing they’ve been seeking, alongside vital trade agreements with the US, India and the European Union to bolster the UK’s automotive sector and safeguard jobs in light of recent global economic challenges.

Greg Taylor, Managing Director of Citroën UK, said: “We welcome the support of the Electric Car Grant and are delighted to be the first to have our electric range, including the New ë-C3, New ë-C4, New ë -C5 Aircross and ë-Berlingo, approved and eligible. At Citroën we want everyone to have the opportunity to make the switch to an electric car and this support will help make our cars more accessible for our customers.”

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