GOVERNMENT VAN SCRAPPAGE FUND SET TO DOUBLE AFTER ONLY £2.3M SPENT!
The scheme has since ceased as of October 2020 (2022 update)
In February 2019, London’s Mayor, Sadiq Khan, launched a scheme which allowed small businesses to scrap older polluting vans. The incentivised scheme enabled business owners to claim part of a £23 million pot of funding available, encouraging them to ‘go green’.
Soon after the scheme launched, it was announced the funding would double as only 10% of the allocated budget had been spent. However, due to a spike in popular demand, it wasn’t long until funding ran out and the scheme was closed in October 2020.
What was the Government’s van scrappage scheme?
To sum it up, small business owners were incentivised by the city’s Mayor to get rid of vans that frequently entered central London, which breached the then new Ultra Low Emission Zone (ULEZ).
From the original £23 million grant available, business owners could claim between £6,000 to £9,500 per vehicle, enabling them to switch to a new Euro 6 compliant or electric van.
Previously, the scheme was restricted to ‘micro businesses’ with up to 10 employees, which widened to include firms with up to 50 employees. The scheme, which was launched in February 2019 (before the start of ULEZ in April 2019) initially had mixed reviews. Small businesses complained that the original scrappage payment was too low to make economic sense - which is why it was doubled.
Similarly, there had been a weak take-up of a £2 million grant that was also made available to low-income and disabled Londoners, in order to scrap older cars and motorbikes for more emission friendly vehicles.
Will the Government’s van scrappage scheme return?
At present, there are no plans for the UK Government to bring back a similar van scrappage scheme in 2022.
Instead, the Government is investing a huge amount of money into the development and sale of electric vehicles, alongside the infrastructure needed to roll this out on a larger scale. It is said a whopping £2.5 billion has already been invested into this.
There are of course other options available to van owners who wish to upgrade to a low or emission free ULEZ compliant vehicle. The UK Government is still offering a grant of up to £2,500 for small vans, or £5,000 for large vans, to help towards the purchase of a low-emission plug-in hybrid or electric vehicle.
To find out more and discover which vehicles are eligible for a manufacturer grant, visit the Low-emission vehicles eligible for a plug-in grant page on the official Government website.
ULEZ compliant vans are available at Loads of Vans
If you’re looking to upgrade your current van to a low or zero emissions ULEZ compliant vehicle, then look no further than our Loads of Vans dealership. We are based in North Cheam, South London, stocking hundreds of new and used vans available to drive away today.
Almost all of our vans in stock are Euro 6 and ULEZ compliant, so we’re prepped and ready to keep you and your business moving! Take a look at our range of electric vans and read about all our latest EV models over on our Go Electric with Loads of Vans blog.
To understand more about ULEZ and if your van meets the current emission standards, or to find out exactly where the ULEZ zone now stretches, visit our Does My Van Meet ULEZ Emission Standards blog, which will explain more.
Why not bag yourself a bargain and check out the current HOT NEW VAN DEALS we have on offer here at Loads of Vans.