Scotland’s LEZ retrofit fund opens again allowing taxi drivers to upgrade their cabs

Taxi drivers looking to upgrade their black cabs to reach Low Emission Zone (LEZ) standards set in their region, are being urged to act fast.

Many taxi operators in Scotland will welcome the newly reopened fund designed to help retrofit older taxi vehicles to meet stringent Low Emission Zone (LEZ) standards. The ‘LEZ Retrofit Fund’ managed by the Energy Saving Trust aims to enhance air quality in Glasgow, Edinburgh, Aberdeen, and Dundee, where LEZs are currently enforced.

The Energy Saving Trust offers guidance and financial support to ‘micro businesses’, which includes taxi operators, within 20km of the LEZs to upgrade their non-compliant vehicles.

The retrofitting includes installing exhaust after-treatment systems or re-powering technology, with funding covering up to 70% of the costs. Specifically, grants can provide up to £5,000 per vehicle for exhaust systems and up to £10,000 for re-powering.

Eligibility for the scheme requires that the retrofitted vehicles continue operation within the zones for a designated period—three years for taxis and light commercial vehicles, and five years for heavier vehicles. If a vehicle is sold, becomes unroadworthy, or is otherwise taken out of service within this timeframe, a portion of the grant must be repaid.

Taxi operators who have benefited from the LEZ support fund within the last year will have the value of any previous grants deducted from the new support offered.

Cybrand AEC Ltd highlighted the urgency of applying, noting that the previous year’s funds were quickly exhausted.

A spokesperson said: “Great to see the new LEZ retrofit fund is open again in Scotland.

“We’re not sure how long this will last given how quickly last years’ fund was snapped up so get in touch as quickly as you can.”