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.
- HMRC AER Update 2026: 7p Home Charging, 15p Public Charging
28 Jun 2026
HMRC AER rates from 1 June 2026 are 7p per mile for home charging and 15p per mile for public charging. Here is the CFO checklist for UK EV fleets.
Read more - Ensure your EV mileage policy passes HMRC's split 7p/15p rate test
28 Jun 2026
HMRC now splits EV mileage reimbursement between home (7p) and public (15p). This guide shows how to update policy, payroll and audits to stay compliant.
Read more - Why Most EV Mileage Policies Fail HMRC Tests
28 Jun 2026
Many EV mileage policies unintentionally drift out of compliance with HMRC’s Advisory Electricity Rates. Here’s why it happens — and how Finance and Fleet teams can fix it fast.
Read more - Fleet Electrification Business Case Template: The CFO-Ready Framework
06 Mar 2026
Download the free fleet electrification business case template with pre-built TCO formulas, incentive checklists and a risk register. Then follow our section-by-section guide to build a CFO-ready case.
Read more - UK EV BiK Calculator: Company Car Tax from 3% to 9% (2025-2030)
06 Mar 2026
Calculate your EV company car tax from 2025 to 2030 with EVDC's free BiK calculator, covering employer NIC, VED and the full HMRC trajectory.
Read more