The government has extended the Plug-in Van Grant for another year, in a move aimed at helping greater numbers of fleet operators and van drivers transition to zero emission vehicles.

DPD MAXUS VAN 1

The extension, effective from 1 April this year, will allow businesses and van drivers to receive grants up to £2,500 when buying small vans up to 2.5 tonnes and up to £5,000 for larger vans up to 4.25 tonnes.

The DfT is also making it easier to switch to zero emission vans by removing the requirement for additional training, which is currently in place only for zero emission vans but not their petrol and diesel equivalents.

Driving licence rules for heavier zero emission vans will be brought in line with their petrol and diesel equivalents, through secondary legislation laid before Parliament today, which will enable Standard category B licence holders to be able to drive zero emission vehicles up to 4.25 tonnes, to account for the additional weight of their batteries.

This includes vans, minibuses, SUVs, trucks, and any vehicle up to 3.5 tonnes, if they are petrol and diesel. Drivers will also be able to tow using a 4.25 tonne zero emission vehicle. This change is expected to come into force this Spring, subject to parliamentary approval, 

These changes will also aid fleet operators by removing the additional training costs and making it easier to hire drivers to operate electric vans.

Announcing the move, DfT said government is also on a mission to increase the number of public chargers. Currently there are over 74,000 public chargers in the UK, of which around 20,000 were added last year.

It is also promising “tens of thousands” more chargers will be added to the network in the coming years, fuelled by £200m of funding announced in the Autumn budget, along with £6bn of private investment.

Today’s changes are being fuelled by a £120m fund, which is part of a funding pot of £2.3bn dedicated to helping industry and consumers make a supported switch to EVs. 

Future of Roads Minister Lilian Greenwood said: “From van drivers and businesses, to drivers with accessibility needs, bikers and cabbies, today we are making it easier, faster and cheaper for people to switch to electric vehicles.

“By making the transition to zero emissions a success, we’re helping to drive growth all over the UK, putting more money in people’s pockets and rebuilding Britain to deliver our Plan for Change.”

Manufacturers welcomed the government announcement today. Andrew Lawson, Harris Maxus UK managing director, said the move was a positive step forward for businesses, drivers, and the wider ev industry.

He added: “At Maxus UK, we understand that many fleets and individuals want to make the switch to electric, but they need the right support and infrastructure to do so. These grants will accelerate adoption and remove key barriers, making zero-emission transport more accessible than ever.

“Maxus successfully achieved the ZEV mandate targets, proving our commitment to driving the EV transition. However, investment alone isn’t enough, training and education on solution-based offerings are critical.

“The transition isn’t just about vehicle price, it’s about the full ecosystem - vehicles, Charging hardware and software, and vehicle telematics. By equipping businesses with the right knowledge and tools, the EV adoption becomes easier and more effective.

“Electric isn’t just the future, it’s happening now. With the right infrastructure, financial support, and industry collaboration, the UK is taking decisive steps towards a cleaner, more sustainable transport system that works for everyone.”

RHA also hailed the plug-in grant extension as welcome news for van fleet operators. Chris Ashley, RHA Net Zero lead, said: “We welcome this further financial support from the government for van operators.

“At a time when sales of EV vans are in danger of waning, this is a welcome boost to help those make the switch where they can.”

Christopher Thorneycroft-Smith, Aegis Energy co-founder said the changes were welcome but called for greater action to tackle the lack of charging infrastructure available to fleet operators.

He commented: “We are delighted that government has decided to extend the plug-in grant for electric vans and remove additional training requirements, making the switch to zero emission vehicles more accessible for fleet operators.

“It’s a definitive move for the sector which many industry bodies have lobbied hard for over the last year.

“However, we also know how important it is that we address the gap in reliable, accessible charging infrastructure for fleet operators.

“Alongside reducing upfront vehicle costs, this is another key barrier which must be tackled to truly accelerate the transition.”