1.245 Consumer incentives support the development of markets for new transport technology. The government is considering the long-term future of incentives for zero emission vehicles alongside the 2040 phase-out date consultation. Until then, the government will provide
£403 million for the Plug-in Car Grant, extending it to 2022-23. Recognising that the market for other ultra-low emission vehicles is still very small, the government will also
provide £129.5 million to extend the Plug-in Grants for vans, taxis and motorcycles to 2022-23. In addition, the Budget announces the exemption of zero emission cars from the Vehicle Excise Duty (VED) ‘expensive car supplement’ and the publication
of a call for evidence on VED, which will include how it can be further used to reduce vehicle emissions. (35, 44)
Sounds like good news
£403 million for the Plug-in Car Grant, extending it to 2022-23. Recognising that the market for other ultra-low emission vehicles is still very small, the government will also
provide £129.5 million to extend the Plug-in Grants for vans, taxis and motorcycles to 2022-23. In addition, the Budget announces the exemption of zero emission cars from the Vehicle Excise Duty (VED) ‘expensive car supplement’ and the publication
of a call for evidence on VED, which will include how it can be further used to reduce vehicle emissions. (35, 44)
Sounds like good news