Question to the Department for Transport:

To ask the Secretary of State for Transport, what assessment she has made of the potential impact of Government (a) incentives and (b) grant schemes for (i) fleet and (ii) company vehicles on the wider retail market for new low-emission cars.

Favourable tax rates for zero emission vehicles (ZEVs), including the lowest first year rates of Vehicle Excise Duty and preferential Benefit in Kind rates, have been a key driver of ZEV adoption for both fleet operators and companies.

Likewise, Plug-in Vehicle Grants have boosted the market share of ZEVs since they were introduced in 2011. Grants remain available for vans, trucks, motorcycles and wheelchair accessible vehicles.

The recently announced Electric Car Grant (ECG) is encouraging purchases of low cost zero emission cars in the wider retail market by providing discounts of up to £3,750.

We are committed to working with industry to deliver a successful transition to ZEVs, and we will be engaging industry on the grant as it evolves – as we do with all Government grants.