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Electric Vehicles: Costs

Asked by James McMurdockIndependentDepartment for TransportTabled Answered 19 March 2026UIN 120277

The question

To ask the Secretary of State for Transport, what assessment she has made of the potential impact of the average difference in the purchase price of electric vehicles compared with petrol and diesel vehicles on consumers.

Answered by Keir Mather

The £2 billion Electric Car Grant (ECG) is encouraging more drivers to purchase EVs by reducing upfront costs by up to £3750. Since launch in July 2025, the grant has helped over 75,000 drivers to choose an EV.

The grant has been designed to make lower-cost, sustainably manufactured EVs more widely available and only applies to vehicles priced at or below £37,000.

Industry intelligence suggests that some EVs on the used market are now similar in price to their petrol and diesel equivalents, with two in five used EVs available for under £20,000.

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