OZEV announces 'surprise' plug-in car grant delivery period extension

The Office for Zero Emission Vehicles (OZEV) has temporarily extended the plug-in car grant delivery period from 12 to 18 months – ending the threat of thousands of potential lapsed claims.

The BVRLA revealed this morning (October 4) that the period in which car buyers are able to claim the grant funding had been extended in light of supply difficulties which saw many customers' claims lapse before they could receive their new vehicle.

The temporary extension announced by OZEV today applies to vehicle orders placed between June 14, 2021 and March 31, 2023, and means that eligibility for the grant will now expire only if the vehicle is not delivered within 18 months of the order being recorded on the grant portal.

Luscombe Motors managing director Robin Luscombe was one car retail business leader who has breathed a sigh of relief at the change. He said: "We had quite a number of customers who had applied for the grant back in October last year and faced the threat of losing £2,500 because of the 12-month time limit because their vehicles have yet to be delivered.

"Today's announcement of the extension came as a surprise but, dare I say it, this is another very welcome u-turn from Governement. It's given us and our customers some very welcome breathing room." 

Toby Poston, director of corporate affairs at the BVRLA, which has been appealing for the extension, said: “This is great news for a fleet industry that is still suffering from massive lead times on some of the most popular battery electric vehicles.

“We greatly appreciate the input from members on this issue and thank OZEV for taking decisive action to support fleet decarbonisation.”

Sue Robinson, chief executive of the National Franchised Dealers Association (NFDA) also welcomed the move. She said: “By extending the Plug-in Vehicle Grant delivery period it is allowing consumers more time to receive their orders which may have been affected by the well documented supply constraints impacting the automotive sector.

“NFDA supports this decision as franchised dealers are still battling long lead times for their orders, the delivery extension is positive as it provides a safety net for customers to receive their electric vehicle on the grant at which they placed their order.”