‘DISAPPOINTING REDUCTION’: LEVC reacts to Plug-in Taxi Grant cut as Government extends support for another year
LEVC has responded to the Government’s decision to extend the Plug-in Taxi Grant (PiTG) for another year, while highlighting concerns over the reduced funding level. From April 2025, the grant for new electric taxis will drop from £6,000 to £4,000 per vehicle.
A spokesperson for LEVC acknowledged the Government’s commitment but described the reduction in funding as disappointing. The company is urging drivers to take advantage of the current £6,000 grant and additional retail offers in March.
LEVC also pointed to the upcoming Taxi and Private Hire Action Plan refresh from Transport for London (TfL), which is expected to outline longer-term policy direction for the taxi industry. The company hopes this will provide clarity on future regulations and financial support for the trade.
The extension of the PiTG is part of a wider £120 million government initiative aimed at increasing the adoption of cleaner vehicles. However, with continued reductions in funding, concerns remain over the long-term affordability of electric taxis for drivers looking to make the switch.
An LEVC spokesperson said: “Following on from the lobbying efforts of LEVC and its industry partners, the Government has confirmed its short-term commitment to extend the Plug-in Taxi Grant (PiTG) for a further twelve months at a level of £4,000 per new vehicle, effective 6 April 2025. While this does represent a disappointing reduction in funding, drivers can still make the most of the current £6,000 grant and additional LEVC retail offers in March ahead of the deadline.
“We hope that the forthcoming Taxi and Private Hire Action Plan refresh, due to be published by TfL in the coming weeks, will set the longer-term regulatory direction and policy intention needed to secure and build a strong future for the taxi trade in London and cities across the UK.
“As always, LEVC will continue to play a key role in contributing to the UK’s decarbonisation goals through the TX, the world’s most advanced zero-exhaust emission capable taxi, designed, developed and manufactured in the Midlands at LEVC’s state-of-the-art Ansty facility.”
