Electric bike buyers to receive government subsidies

Grants will reduce the price of electric bikes by around £1,500

Grants will reduce the price of electric bikes by around £1,500

The public will soon be able to get a subsidy for electric motorcycles and scooters, which has so far only been available for four wheel vehicles, says the Motorcycle Industry Association (MCIA). The announcement is part of a £35m boost for ultra-low emission vehicles.

MCIA has been involved in negotiations with the Office for Low Emission vehicles (OLEV), the government department which encourages low emission vehicles, for the past three years. An initial announcement about extending the grant to motorcycles and scooters was made by the Coalition Government in March 2015. However the detail was not confirmed until now. 

The price of each vehicle will be reduced by £1,500 or 20% of the total purchase cost (screen price), whichever is the smaller number. The grant will be made available for new road registered electric motorcycles and scooters reaching certain quality criteria, which include having a battery with five years warranty and a good range.

Details of how manufacturers and importers can have their bikes assessed for eligibility can be cound on the OLEV website. Customers wanting to buy an electric motorcycle will be able to find out which ones are eligible once manufacturers have applied for the grant and been accepted.

“Unlike cars, electric motorcycles and scooters can be charged at home or work using normal plug sockets, which makes them more accessible,” said Steve Kenward, chief executive of the MCIA.

Kenward hopes the grant will help make electric vehicles and travel more affordable for many people. “This opens the door to zero emission transport to people who have not been able to afford electric cars, which tended to have been a ‘lifestyle choice’. Motorcycles and scooters are an extremely accessible form of electric transport and have the capacity to significantly reduce congestion, since they share all the advantages of riding a regular powered two wheeler. Riders can filter through traffic, often use bus lanes and usually get closer to their end destination, cutting door to door journey times. 

“Motorcycles are exempt from congestion charges with ‘fuel’ costing the equivalent of a penny a mile and nothing to pay for vehicle tax, plus cheaper or free parking. Switching to an electric motorcycle or scooter could result in huge savings for the average commuter, or for businesses which operate fleet vehicles.”

The MCIA represents around 90% of the supply side of motorcycling, with over 130 members including manufacturers and importers, insurance and finance providers, accessory and component suppliers plus road safety stakeholders.