Ministers have confirmed that the plug-in van and truck grant will continue until at least 2027' as part of efforts to boost the adoption of electric commercial vehicles. The extension means motorists and companies can access discounts worth up to £25,000. At present, the scheme provides £2,500 off small vans, £5,000 for larger vans, £16,000 towards small trucks and as much as £25,000 for big trucks. READ MORE: 'Blight on community' jailed for breaching ban on begging, urinating and taking drugs in public The Department for Transport (DfT) has indicated that funding levels for 2026-2027 will be 'confirmed in due course', hinting at potential adjustments to the financial assistance on offer. Future of Roads Minister Lilian Greenwood commented: "Extending these grants is another decisive step to power Britain's transition to cleaner transport while backing the industries that keep our economy moving, driving new investment in EVs and helping businesses cut costs and expand." She continued: "Every EV on our roads means healthier communities and new economic opportunities across the country, which is why grants like these are crucial to both accelerating that transition and building a resilient, competitive economy." Numerous electric van options are now available from manufacturers including Renault, Ford and Toyota, amongst others. Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders (SMMT), has stated: "Extending the Plug-in Van and Truck Grant until 2027 will help increase zero emission uptake in the critical commercial vehicle sector, much of which faces the same end of sale date as the car market. "One of the major barriers to adoption is affordability so this extension will reduce the initial cost of purchase which, together with the accelerated rollout of infrastructure, will help more operators make the switch." This grant is part of Labour's manifesto pledge to phase out the sale of new petrol and diesel cars by 2030. The Zero Emission Vehicle (ZEV) Mandate requires manufacturers to sell increasing percentages of zero emission vehicles each year. Dan Caesar, CEO of Electric Vehicles UK, commented: "A targeted incentive programme is a significant step forward in encouraging consumers to buy battery electric vehicles and to make them more accessible. "While battery-only EVs are much cheaper to buy and run than most realise, surveys show that cost misperceptions are the primary reason for hesitance." Mr Caesar added: "A generous grant of this nature gives a new group of interested buyers, who might have thought that going electric was beyond them, a gentle nudge into what is great tech. "More than 9 out of 10 battery EV drivers will never revert, and there's a reason for that."