ELECTRIC INCENTIVE CUT
The British Government has confirmed a series of changes to its plug-in grant scheme, which could make it more expensive to purchase a brand-new electric motorcycle or scooter.
The Department for Transport has announced significant changes to its plug-in grant scheme, which it claims will help to entice more people to make the switch to electric – but which actually offers less of an incentive for people looking to buy a powered two-wheeler.
The scheme previously helped offer a price reduction of £1500 (or 20%, depending on which was the smallest at the point of sale) for all new roadregistered electric bikes and scooters. In contrast, the new plans will see battery-powered motorcycles which cost up to £10,000 receive 35% off (though it is capped at £500), while mopeds will get 35% off (which is capped at £150).
Announced last month as part of a larger overhaul to the plug-in scheme, the DfT says the changes will help the £582 million of funding for 2022 and 2023 go further, but the Motorcycle Industry Association (MCIA) condemned the changes, stating that the 90% reduction in support will have a significant impact on the sales of fully electric, zeroemission two-wheelers.
Speaking about the news, Tony Campbell, Chief Executive of the MCIA, said: “It is with great disappointment the Government has decided to drastically cut the level of support for moped and motorbikes, typically emitting zero or low emissions. The announcement comes as a hammer blow to consumers and businesses up and down the country who were, and are, fully behind the drive to zero-emission vehicles and a net-zero future.”
As an example, the £12,300 Zero FXE which would have cost £10,800 under the old scheme, no longer meets the criteria for the plug-in grant and will not be entitled to any governmentfunded reduction in price. The same applies for the high-end electric motorcycles from Harley-Davidson and Energica. However, Zero and Harley-Davidson have announced they will continue to knock £1500 off the price of new machines into 2022. But it won’t last for long.
The announcement did offer some positive news about future improvements to the UK’s charging network, with plans in place to introduce a minimum payment method for charging stations (of 7.1kw and above), while plans are also in place to introduce a universal system which will help consumers compare costs across networks.