Manufacturers Launching Their Own EV Grants: Get £3,750 Off Electric Cars Now

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Key Insights

  • Major manufacturers including Hyundai, Kia, Volvo, and MG are offering immediate discounts of up to £3,750 on electric cars, matching the government's planned Electric Car Grant amounts
  • These manufacturer discounts are available now at dealerships, while the official government grant scheme requires manufacturer approval and may take weeks to implement
  • Combined with electric car salary sacrifice schemes offering 20-50% savings, drivers can access unprecedented EV affordability
  • The discounts apply before salary sacrifice calculations, maximising total savings for company electric car scheme participants

While the government's new Electric Car Grant offers up to £3,750 off electric vehicles under £37,000, many manufacturers aren't waiting for official approval. Instead, they're launching their own discount schemes to give customers immediate savings on electric cars.

Why Manufacturers Are Offering Their Own Grants

Rather than waiting for the complex government approval process, car manufacturers are taking matters into their own hands. The official Electric Car Grant requires manufacturers to meet strict sustainability criteria and gain approval before customers can benefit. This process could take weeks or months, creating uncertainty for buyers.

By offering immediate discounts, manufacturers ensure customers don't delay their electric car purchases while waiting for potential government grants. This approach is particularly important for Chinese manufacturers who may face stricter assessments under the government's Science-Based Target requirements.

Current Manufacturer Discounts Available Now

£3,750 Discounts

Hyundai - £3,750 off the new Hyundai Inster, bringing this compact EV down to just £23,500. Also offering £1,500 off other models including the Kona Electric, Ioniq 5, Ioniq 6, Ioniq 5 N, and Ioniq 9.

Kia - £3,750 discount on the Kia EV3 Air (base model) through their new electric car allowance scheme, available until 30 September 2025.

Great Wall Motor (GWM) - £3,750 "Green Grant" across the entire Ora 03 range, reducing the entry-level model to £21,245.

Skywell - £3,750 EV incentive on BE11 models, combined with an existing £6,000 deposit contribution for total savings of £9,750.

Leapmotor - Up to £3,750 off the C10 SUV as part of their immediate response to the government grant announcement.

£1,500 Discounts

Volvo - £1,500 off any new EX30 model, plus 0% APR PCP finance on Plus and Ultra trim levels.

MG Motor UK - £1,500 off both the MG4 EV and MG5 EV, available immediately for all customers.

Alfa Romeo - £1,500 discount on the Junior Elettrica across all trim levels, reducing the entry price to £32,405.

How These Discounts Work With Salary Sacrifice

The manufacturer discounts work perfectly with electric car salary sacrifice schemes. The discount reduces the vehicle's price first, then salary sacrifice savings of 20-50% apply to that reduced amount.

For example, a £35,000 car with a £3,750 manufacturer discount costs £31,250. With The Electric Car Scheme's salary sacrifice programme, employees can then save an additional 20-50% on that reduced price, combined with the current 3% Benefit-in-Kind rate for electric vehicles.

Government Grant vs Manufacturer Discounts

The government's Electric Car Grant offers two levels of discount:

  • £3,750 for the most sustainably produced cars (Band 1)

  • £1,500 for cars meeting basic environmental criteria (Band 2)

However, the official scheme requires:

  • Manufacturer approval through a complex sustainability assessment

  • Science-Based Target verification

  • First-come, first-served funding allocation

  • No retroactive grants for early purchases

Manufacturer discounts are available immediately at dealerships with no additional paperwork or waiting periods.

What This Means for EV Buyers

These immediate manufacturer discounts create exceptional opportunities for drivers considering electric car schemes. Rather than waiting for uncertain government approval, customers can secure guaranteed savings now.

The discounts are particularly valuable for salary sacrifice participants, as they reduce the base vehicle price before any employment tax benefits are calculated. Combined with The Charge Scheme for salary sacrifice EV charging costs, drivers can optimise their total cost of electric vehicle ownership.

Getting Your Discount

To benefit from these manufacturer discounts:

  1. Visit participating dealerships - no separate application required

  2. Discounts apply automatically at point of sale

  3. Can be combined with salary sacrifice schemes for maximum savings

  4. Available immediately without waiting for government approval

With manufacturers competing to offer the most attractive packages, and the proven savings of electric car salary sacrifice schemes, switching to electric has never been more affordable for UK drivers.

The combination of immediate manufacturer discounts and comprehensive salary sacrifice benefits creates unprecedented value for both employees and employers looking to embrace sustainable transport solutions.

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Last updated: 29/07/2025

Our pricing is based on data collected from The Electric Car Scheme quote tool. All final pricing is inclusive of VAT. All prices above are based on the following lease terms; 10,000 miles pa, 36 months, and are inclusive of Maintenance and Breakdown Cover. The Electric Car Scheme’s terms and conditions apply. All deals are subject to credit approval and availability. All deals are subject to excess mileage and damage charges. Prices are calculated based on the following tax saving assumptions; England & Wales, 40% tax rate. The above prices were calculated using a flat payment profile. The Electric Car Scheme Limited provides services for the administration of your salary sacrifice employee benefits. The Electric Car Scheme Holdings Limited is a member of the BVRLA (10608), is authorised and regulated by the FCA under FRN 968270, is an Appointed Representative of Marshall Management Services Ltd under FRN 667174, and is a credit broker and not a lender or insurance provider.

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Oleg Korolov

Oleg is a Marketing Manager at The Electric Car Scheme who writes about electric vehicle market trends, policy developments, and salary sacrifice schemes. Through his analysis and insights, he helps businesses and individuals understand the evolving EV landscape and make informed decisions about sustainable transportation.

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