In a decisive move to boost electric vehicle (EV) adoption, the UK government has announced a £63 million funding package to expand and modernize the nation’s EV charging infrastructure. Transport Secretary Heidi Alexander unveiled the initiative on July 13, 2025, stating it would help make EV ownership “easier and cheaper” for every household, including those without off-street parking.
The package includes £25 million allocated to local councils to install cross-pavement charging solutions, allowing safe cable routing for drivers without driveways. This could reduce annual running costs for some drivers by up to £1,500 compared to petrol or diesel cars.
Another £30 million will help businesses develop depot charging infrastructure for commercial fleets, while £8 million will support NHS trusts in electrifying over 200 ambulance and medical vehicle depots.
Government Reintroduces UK EV Grants
In a significant policy reversal, the Labour government is preparing to relaunch UK EV Grants to encourage more private buyers. A new £700 million incentive program will subsidize mainstream EV models, particularly those built in the UK, such as the Nissan Leaf. Premium brands like Tesla and Land Rover are expected to be excluded from the scheme.
The grant return comes in response to a sharp drop in private EV sales. While total EV sales rose by 39.1% in 2025—driven largely by fleet purchases—private demand fell by 10.8%. Analysts say the withdrawal of UK EV Grants in 2022 made EVs less accessible to average buyers. The government now hopes the revived subsidies will correct that trend and stimulate mass-market adoption.
Meeting Net Zero Goals Amid Market Challenges
The new measures are part of the UK’s broader net zero strategy, which includes a ban on new petrol and diesel vehicles from 2030 and a full transition to electric vehicles by 2035. Current figures show EVs account for just over 20% of new car registrations, still below the 28% 2025 target set for zero-emission vehicles.
To further support this transition, the government is rolling out new signage for EV hubs, with an ambitious goal of 100,000 public charge points by 2030. However, some critics argue that the £63 million infrastructure boost is modest when compared to the scrapped £950 million Conservative pledge for motorway charging networks.
Industry groups have welcomed the latest announcements, especially the cross-pavement cable initiative and NHS depot upgrades. Still, many call for stronger planning support and larger investment to meet public demand and build confidence in the EV transition.
As the UK accelerates efforts to decarbonize transport, the new funding and UK EV Grants mark a renewed commitment to electric mobility. With infrastructure gaps and affordability barriers being addressed, the government aims to put EVs within reach of every driver—and power Britain toward its green future.
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Sources:
https://www.bbc.com/news/articles/cg5z4nlned0o
https://www.thetimes.com/uk/transport/article/electrical-vehicle-grants-boost-demand-bjpwk50tx
