A new £650m grant will enable drivers across the UK to purchase dozens of new electric vehicle (EV) models at discounted prices.

Under the Electric Car Grant (ECG) scheme, a discount of £3,750 will be available at the point of sale for new eligible EVs priced at or under £37,000.

Recent months have seen a surge in EV adoption, with a total of 46,700 new electric cars registered across the UK in June 2025, marking a substantial 45.5% increase on the same month in 2024.

The government hopes this new scheme will see that number increase even further, particularly since the upfront costs required to switch to EVs are often seen as a key barrier to adoption.

With the government maintaining its pledge to ban the sale of new petrol and diesel cars by 2030, the ECG had been preceded by calls to launch financial incentives for new EV buyers.

Car makers can apply for their EVs to be part of the ECG scheme from 16 July, with funding available until the 2028/29 financial year.

Transport secretary Heidi...