Plug-in Taxi Grant extended to April 2025 but drops to £6,000

The government have announced that the plug-in taxi grant, which offers a discount on the purchase of eligible taxis, will continue for another 12 months, until April next year. However the amount available has been cut from £7,500 to £6,000 

The grant was launched in 2017 and has, to date, provided more than £50 million to support the purchase of over 9,000 zero emission cabs.

Currently 8,299 (54%) of London’s licensed taxis are now electric, with the total rising by 24%  last year.

Drivers do not apply directly for grant, instead vehicle manufacturers apply for their models to be approved for the grant and approved dealerships and manufacturers then make a claim on behalf of the customer when buying an approved vehicle.

Chris Allen, Managing Director at London EV Company (who manufacture the TX pictured above) said: ‘Today’s announcement is a positive signal to the taxi trade that the government remains committed to supporting the electrification of our iconic industry and provides important support for drivers for another 12 months.

‘LEVC is continually innovating to deliver the latest in clean, accessible mobility solutions. We will continue to work with government to deliver for drivers and passengers across the UK.’

Steve McNamara, General Secretary of the Licensed Taxi Drivers Association said: ‘London’s licensed taxi drivers are proud to be leading the way in adopting zero emission electric taxis. Our members have invested record sums in these clean, green vehicles and the PiTG has played a vital role in making this possible.

‘Today’s announcement provides the certainty and support hard working taxi drivers and fleets need to continue investing in the future of this important sector and delivering the high-quality, accessible service London’s iconic black cabs are known for, all whilst helping to clean up our air and working towards net zero.’