EV grant unknown to 64% of buyers, Carwow finds

Staff
By Staff
5 Min Read

New research from Carwow suggests the UK Government’s electric vehicle grant message is failing to reach the majority of car buyers, with nearly two-thirds unaware the incentive exists.

According to the study, around 64% of in-market buyers do not know about the EV grant, raising concerns that poor awareness could slow adoption at a time when electric vehicles remain below mandated sales targets.

Latest figures from Society of Motor Manufacturers and Traders (SMMT) show EV registrations rose 2.8% year-on-year in February.

However, it marked the second consecutive month in which EV market share declined, with electric vehicles accounting for just under a quarter of new car sales.

When the EV grant was first introduced last summer, it quickly stimulated interest among buyers.

Data from Carwow shows that leads for grant-eligible EV models rose to 28.8% of all EV enquiries in September, traditionally a key month for new car registrations due to the introduction of a new plate.

However, that early momentum proved difficult to sustain. By December, interest had fallen to just 17% of EV leads, suggesting the impact of the incentive faded as awareness remained limited.

To better understand the slowdown, Carwow surveyed 3,959 in-market car buyers after the scheme launched and found that almost two-thirds (64%) said they were unaware of the grant.

Grant awareness remains low

Among drivers who were aware of the scheme, 73% said they would be more likely to choose an EV if all eligible models received the full £3,750 discount.

Currently, 46 EV models qualify for the grant, but only eight receive the maximum £3,750 support, which may be adding to confusion among buyers already uncertain about making the switch.

Affordability remains another key barrier to adoption. Carwow’s research found 23% of drivers still believe EVs are too expensive, while concerns about charging access and running costs continue to influence buying decisions.

When asked what would encourage them to switch to electric, drivers highlighted several key incentives: larger purchase grants (38%); free or discounted public charging (31%) and exemption from congestion charges or clean air zones (31%).

In response to charging concerns, the UK Government has recently extended its home EV charger grant until March 2027, increasing support from £350 to £500 for installation.

The scheme now also covers renters, flat owners and households without driveways, widening access to subsidised home charging.

Price and charging concerns persist

Carwow also analysed government data to examine how EV adoption varies across the UK.

The research found Windsor and Maidenhead leads the country, with electric vehicles accounting for 29% of all licensed vehicles in 2025. Other high-growth areas include: Stockport (25%); Peterborough (20%); Milton Keynes (16%); Swindon (16%).

More than 2,500 charging points have been installed through the Local Electric Vehicle Infrastructure (LEVI) programme, which has helped drive adoption in several areas.

However, uptake remains far slower in parts of the North and Midlands. Areas including North Lincolnshire and York have less than 1% of vehicles registered as electric, highlighting a widening regional divide linked to infrastructure availability.

The Government has recently launched the next phase of the LEVI fund, committing £381 million to expand public charging networks and support local authorities in preparing for the 2030 petrol and diesel car sales ban.

Iain Reid, global content director from Carwow comments further: “The grant clearly sparked interest when it launched, but the reality is that many drivers still don’t know it’s there. If three in five car buyers are unaware of the support available, it’s no surprise that momentum in interest in the grant has been difficult to maintain.

“Our data shows that drivers respond quickly when incentives are introduced but keeping that interest going is the bigger challenge. For the UK to stay on course for its EV targets, support needs to be simple, visible and easy for people to understand. Infrastructure investment is vital, but so is clear communication, especially in parts of the country where uptake is stalling.”

 

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