Electric car grant, is VAT included?

I was expecting to see a £2,500 reduction on our invoice for the price of the car. Instead, I see £2083.33 to which they add VAT, to make £2,500. Shouldn't I expect the whole £2,500 off the price?

Asked on 4 January 2022 by Mark Hammond

Answered by Sarah Tooze

The plug-in car grant up until 15 December 2021 was £2,500 off the recommended retail price of a car priced at £35,000 or below, including VAT, so this is correct.

Tags: electric cars buying an electric car buying an ev plug-in grant

Similar questions

Will I still get the £2,500 plug-in car grant?

I signed the order and a £500 deposit for the new MG ZS long range in December, am I still OK for the £2,500 plug-in car grant?

Am I still entitled to the £2,500 plug-in car grant?

I paid a £500 deposit to secure an electric car from a main dealer, pending the financial arrangements being made. This was on 12 December. I was also given a lease contract statement which states valid...

Ordered an EV in December 2021, am I still eligible for the plug-in car grant?

December last year I ordered a Skoda EV which was eligible for the £2,500 plug-in car grant but it still hasn't been delivered yet due to production problems. Delivery is not likely to happen for several...