£1bn boost for zero-emission fleets

The UK government has unveiled a £1 billion funding package to accelerate the transition to zero-emission commercial vehicles, targeting two of the biggest barriers facing operators: high upfront costs and limited charging infrastructure.

Through the Zero Emissions Truck and Van grants, businesses can save up to £81,000 on the heaviest electric trucks — covering up to 40% of purchase costs — while grants of up to £5,000 remain available for electric vans. The initiative is designed to shield operators from volatile global fuel prices while reducing emissions across millions of road miles.

Complementing this, a £170 million expansion of the Depot Charging Scheme enables companies and public authorities to claim up to £1 million towards installing charging infrastructure for vans, coaches and electric HGVs, covering as much as 70% of costs.

Logistics Minister Keir Mather noted that the investment will cut costs, support jobs and strengthen resilience across the £170 billion UK logistics sector. Major operators including Marks & Spencer and Wren Kitchens and Bedrooms have already begun electrifying fleets, citing improved operational stability and reduced reliance on traditional fuels. The funding signals continued government commitment to decarbonising transport while driving long-term industry growth.