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UK Government Cuts Electric Lorry Costs to Boost Business

12 January 2026

The UK government has announced an extra £18 million in funding to extend and increase the Plug‑in Truck Grant, reducing the upfront cost of new electric lorries by up to £120,000 for hauliers and fleet operators. The scheme, part of a £318 million green freight investment, aims to make electric heavy goods vehicles more affordable, cut emissions, and support growth and jobs across British business. New grant levels vary by truck size, with savings from £20,000 to £120,000 depending on weight category. The government also launched a consultation on phasing out sales of new non‑zero emission HGVs by 2040 to give industry greater certainty.