Grants for EV cabs had to be extended

Electric black taxi cab parked up in front of a public park, plugged into charging station.

As the drive to get greener cabs on our roads continues, the Government has sensibly decided to extend funding to help taxi drivers make the switch.

The plug-in taxi grant has delivered more than £50 million to help drivers buy more than 9,000 taxis over six years. There were concerns that if the funding was withdrawn on April 5 as planned, the £70,000-plus cost of EV black cabs, as well as other expensive full EVs, would be too much for cabbies to afford.


Taxi drivers play a key role in the Government’s environmental and transport plans because they operate in busy, densely populated areas and by switching to electric cabs, they are reducing harmful emissions and creating a cleaner and more sustainable environment for people to live and work in.

And taxi drivers are not opposed to making the switch – as long as they can afford EVs and there are enough charging points to keep them on the road. This demand was shown in the past year alone, when there was a 24% increase in the number of electric taxis bought with the help of the grant as the funding deadline drew closer.

With more than half of London’s iconic black cabs now producing zero emissions, news that the plug-in Taxi Grant of £6,000 per vehicle has now extended until April, 2025, will help even more drivers make the switch. As well as making major progress in London, nationally, more than one in ten (12%) taxis are now zero emission capable – a figure the Government expects to increase as the funding continues.

Green black cabs

Technology and Decarbonisation Minister, Anthony Browne, said: “Taxis are a vital part of our transport network, so it’s great to be supporting our iconic black cab industry with further funding to help decarbonise their vehicles, part of this government’s plan to back drivers.

“The grant has been a huge success so far, and I’m pleased our funding will be continued for another year to help cabbies make the switch to new vehicles.”

The news has been welcomed by the Licensed Taxi Drivers Association, which was concerned about drivers’ futures if the funding was withdrawn. It warned that drivers would be forced to hang on to older, more polluting cabs, which would set back the green agenda.

General Secretary Steve McNamara said: “London’s licensed taxi drivers are proud to be leading the way in adopting zero-emission electric taxis. Our members have invested record sums in these clean, green vehicles and the PiTG has played a vital role in making this possible.

“This provides the certainty and support hard-working taxi drivers and fleets need to continue investing in the future of this important sector and delivering the high-quality, accessible service London’s iconic black cabs are known for, all whilst helping to clean up our air and working towards net zero.”

The extension is also good news for London Electric Vehicle Company, which manufactures the electric cabs.

Managing director Chris Allen said: “LEVC is continually innovating to deliver the latest in clean, accessible mobility solutions. We will continue to work with government to deliver for drivers and passengers across the UK.”

With more than a decade until the sale of new petrol and diesel cars is banned in the UK, there is still time for taxi drivers to make the switch to EV when the current vehicle reaches the end of its natural lifespan.

While incentives such as the grant have been extended by only another year, alternative funding will have to be offered in future for all taxi drivers to be able to make the switch.

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