EVDC Policy Pulse (UK)
Updated on
What’s new that actually moves your numbers?
1) Electric Car Grant: 17 models live, all at £1,500 (for now)
The government’s Electric Car Grant is up and running. As of this week, 17 models are officially approved : all on the £1,500 tier, with the higher £3,750 band still to be populated.
The cap is £37,000 list price and approvals are being updated centrally. Action: pressure-test your next procurements against the list and re-price leases accordingly.
2) VAT gap on charging costs remains
Public charging is still 20% VAT versus 5% at home. Industry analysis suggests this adds around £85m in 2025 across UK EV drivers, rising toward £315m by 2030, a meaningful bias against drivers without driveways.
Policy tip: keep mileage reimbursements aligned to HMRC AER 7p/mile and consider a public-charging uplift where drivers cannot charge at home.
On your radar
VED for EVs is now in force: £10 year one, then £195 standard (plus supplement over £40k). Make sure your WLC models reflect it.
Tesla has applied to Ofgem to supply electricity. If approved, expect fresh smart-tariff options for EV/solar/storage fleets.
Quick wins this week
Re-run your shortlist against the ECG list; renegotiate lease quotes that didn’t price the £1,500.
Formalise a “Public Charging Uplift” in your policy (document the trigger and rate).
Update WLC templates with VED 2025 and keep AER 7p in your ppm baseline.
Do it now
Model the impact on your fleet in minutes with the Fleet-Savings calculator (UK) and see our UK methodology for full assumptions and sources. (Fleet-Savings, Methodology, WLC vs TCO guide).
Related reading
More fleet electrification analysis curated for this topic.
- Spring Statement 2026: How to Prepare Your UK Fleet Budget Before the Chancellor Speaks
20 Feb 2026
The Spring Statement lands on 3 March 2026. Here's every tax, grant and mandate change already confirmed — plus three budget scenarios fleet managers should model now.
Read more - UK Public Charging Network & Fleet Route Planning 2025
04 Dec 2025
How reliable is the UK’s public charging network in 2025, and what should fleet managers do to control route planning, uptime and cost exposure? A practical look at open data, tariffs and integration with fleet tools.
Read more - UK EV Fleet TCO: Complete Guide for 2025-26
02 Dec 2025
Understand every cost that shapes your UK EV fleet strategy in 2025-26 — from energy and residuals to GAAP leasing, tax and charging infrastructure.
Read more - Contactless Charging One Year On
27 Nov 2025
Nearly a year after the UK’s contactless payment mandate for public EV chargers, fleet managers are seeing tangible benefits — from easier reimbursement to full AER compliance.
Read more - Ensure your EV mileage policy passes HMRC’s split 8p/14p rate test
26 Nov 2025
HMRC now splits EV mileage reimbursement between home (8p) and public (14p). This guide shows how to update policy, payroll and audits to stay compliant.
Read more