Higher value EVs not eligible for £3,000 PiCG (grant) anymore!

[Durzel]

Where are people seeing that Tesla have dropped the price £3k? Everything looks to be the same price from what I can see.

There’s probably more incentive for Tesla to raise the price on LR now to get closer to P, now that they’re not trying to get it under the old £50k PICG threshold.

EDIT: I was wrong, LR dropped by £3k.

 

[dakaix]

Folks with orders in already should be protected from this change. Tesla applies for the grant as soon as you complete all the order paperwork, and I believe from that point they have 6 months to deliver the car.

May mean you need to be careful with changing specification though!

 

[Tigermad]

Hopefully people on lease are covered. I’m getting the car the week after next.

 

[UrbanSplash]

Yeh Tesla I can see increasing the price of the LR now. No reason to hold back.

 

[Cardo]

Looks like Tesla have updated their website. The ordering page is slightly different and now doesn’t show the PiCG as part of the cost breakdown, however the final price is the same as it was before the changes. Looks like Tesla have reduced the cost of the M3LR, at least, by £3500. It still mentions the PiCG when you look at the savings page, but it’s not mentioned in the breakdown, so I think the change has already been taken into account.

 

[Jason71]

Didn't Tesla just cut the price of the car by an equivalent amount to the grant when something similar happened in the US?

When the UK grant was taken off the performance the price went up by £4000 i.e. £500 more than the lost grant. The LR had to come down by £500 to stay under the 50K threshold so i assumed this was to compensate for the lost revenue on that model

 

[Yev000]

Looks like Tesla have reduced the cost of the M3LR, at least, by £3500

£500 of that is delivery and registration charges.

Gov site still has this :

"
To be eligible for the grant, cars must cost less than £50,000. This is the recommended retail price (RRP), and includes VAT and delivery fees.

The grant will pay for 35% of the purchase price for these vehicles, up to a maximum of £3,000."

Low-emission vehicles eligible for a plug-in grant

Check which electric (plug-in) and hybrid vans, trucks and motorbikes are available for a grant.

www.gov.uk

This will probably take a bit of time to happen

 

[Cardo]

£500 of that is delivery and registration charges.

Gov site still has this :

"
To be eligible for the grant, cars must cost less than £50,000. This is the recommended retail price (RRP), and includes VAT and delivery fees.

The grant will pay for 35% of the purchase price for these vehicles, up to a maximum of £3,000."

Low-emission vehicles eligible for a plug-in grant

Check which electric (plug-in) and hybrid vans, trucks and motorbikes are available for a grant.

www.gov.uk

This will probably take a bit of time to happen

Meant to say £3000...

Either way, Tesla have already updated their order page to take into account the loss of PiCG and the final purchase price for a M3LR is the same.

 

[Durzel]

As @Cardo has said, looks as if Tesla have dropped the price of the LR by £3k (was £49,990).

SR+ and P are unchanged.

This essentially means - I think - that Tesla are now taking a £6,000 hit on LR, and £3,000 on SR+. Before this change, people paid Tesla £40,490 for the SR+, and Tesla claimed back £3,000 from the Government - netting them £43,490. For the LR, customers were paying them £49,990 and they were claiming back £3,000, and netting £52,990.

I wonder how long prices will stay like that..

EDIT: Ok, it's too early.. I think the LR price is the same, just the presentation of it is different. I presume people who bought LR actually paid £49,990 before the PICG.

 

[AnthonyLR]

I bought mine in March 2000 when the grant dropped from £3500 to £3000 (or something like that) and no longer applied to the M3P. I think it was the case that at point of firm order Tesla did the paperwork to get the grant so existing orders were unaffected. Might be different today. But it could be that some lucky punters get the lower sticker price and the EV grant.

 

[Envchem]

The way I see it they should apply this grant on a scale. ie car over 50 gets 1k, car over 40k gets 2k and so on. And for any EV between 20-30k have it 5k. This way the majority of consumers will be able to justify a switch to electric cars. But not applicable on lease or PCP. In my opinion if you want to be environmental friendly you cant be changing a car every 3 years.

 

[Yev000]

In my opinion if you want to be environmental friendly you cant be changing a car every 3 years.

Someone else would buy the second hand car .... So the grant would put another EV on the road.

 

[Durzel]

The way I see it they should apply this grant on a scale. ie car over 50 gets 1k, car over 40k gets 2k and so on. And for any EV between 20-30k have it 5k. This way the majority of consumers will be able to justify a switch to electric cars. But not applicable on lease or PCP. In my opinion if you want to be environmental friendly you cant be changing a car every 3 years.

if you can afford to spend £50k on a car, why should you get any money from the Government? Chances are you are/were going to buy the car anyway so that grant is just free money. For regular folk the grant could be the tipping point between choosing one car over another.

I was grateful when I got the £3,500 grant for my M3P last year (just under the wire), but I would've bought it anyway tbh.

I think the grant is about getting people generally into EVs, not into Teslas or Taycans or whatever. If there's more money to go around to those people - then we all ultimately benefit in the long run, environmentally and also because demand will increase for charging infrastructure, etc.

 

[Envchem]

if you can afford to spend £50k on a car, why should you get any money from the Government? Chances are you are/were going to buy the car anyway so that grant is just free money. For regular folk the grant could be the tipping point between choosing one car over another.

I was grateful when I got the £3,500 grant for my M3P last year (just under the wire), but I would've bought it anyway tbh.

I think the grant is about getting people generally into EVs, not into Teslas or Taycans or whatever. If there's more money to go around to those people - then we all ultimately benefit in the long run, environmentally and also because demand will increase for charging infrastructure, etc.

That is why I pointed out that the lower the car price the bigger the grant. I would have bought my car without the grant too. But for people who can't afford that amount a heftier grant would go a long away.
Essentially we agree

 

[Yev000]

I see your point. It doesn't happen always though. For the life of me I can't find the article but I remember reading about thousands of ex pcp cars sitting in an airfield since they can't be sold.

Yeah you wont get that with EVs for another 10 years yet, at the very least the battery is a goldmine.

 

[pdk42]

Even a relatively lowly VW ID3 at its RRP (which I assume the PICG is based on) will get past £35k with even minimal options on the base model. Typical govt duplicity.

 

[flowuk]

Meant to say £3000...

Either way, Tesla have already updated their order page to take into account the loss of PiCG and the final purchase price for a M3LR is the same.

Phew! I had visions of my June order being cancelled & was about to check out the Polestar 2 forums!

 

[Yev000]

if you can afford to spend £50k on a car, why should you get any money from the Government? Chances are you are/were going to buy the car anyway so that grant is just free money. For regular folk the grant could be the tipping point between choosing one car over another.

I was grateful when I got the £3,500 grant for my M3P last year (just under the wire), but I would've bought it anyway tbh.

I think the grant is about getting people generally into EVs, not into Teslas or Taycans or whatever. If there's more money to go around to those people - then we all ultimately benefit in the long run, environmentally and also because demand will increase for charging infrastructure, etc.

Disagree. That argument only works if there are decent sub 30k cars. People who can't afford a 50k car still need the range....

From a different angle, would Tesla sell as many cars in UK without the grant? I would wager probably not, since the luxury tax was putting people off at a mere 1.6k

It's another ICE of the road for 3k. Whether it's 100k car or 20k car should not matter to the Gov. It's a single pot of money - and besides, Gov gets more tax back from 100k car purchase than 20k. So you got to ask your self, is this a "benefit" for people who can't afford cars, or is it to get more EVs on the road?

 

[curmudgeon]

Company car drivers (except for P of course) will actually be slightly better off now since BIK is calculated on the gross vehicle price before the grant.
Of course its only peanuts this coming tax year because BIK is at 1% but, given today's announcements, I can't see BIK staying low for much longer.

 

[Cardo]

It’s curious how things are so different here compared to the US. Over there many EVs (ok, not Tesla or Chevy, for the time being) are eligible for a $7500 tax rebate. However, in order to benefit from that you need to earn enough money and pay enough tax to be able to get the rebate. So it actually benefits those who are wealthier, whilst people with fewer means won’t be able to claim the full rebate, as they won’t have paid enough tax, in the first place. What a bizarre world we live in.