Calls for UK e-motorcycle grant to be re-established
Comments Off on Calls for UK e-motorcycle grant to be re-establishedSource: The Pack, Motorcycle News
The UK’s plug-in motorcycle grant (PiMG), which has supported over 15,000 purchases in the region, recently expired on April 5. The UK’s Motorcycle Industry Association (MCIA) is urging the government to reactivate and broaden it, after WPI Economics forecasted a £50 million loss to the market by 2030 without the grant.
The PiMG purchasing incentive was first launched in 2016, initially offering £1,500 (€1,721) on road-registered battery bikes or a 20% discount (whichever amount was smallest at the point of sale). Then the incentive value decreased to a 35% discount of a maximum value of £500 (€573) for electric motorcycles priced at £10,000 (€11,476) and below.
And more recently, since April 5 2026, there has been no financial incentive available, highlighting that mopeds and motorcycles are the only individual transport modes without zero-emission subsidies in the UK.
Having supported the purchases of over 15,000 electric motorcycles, the UK motorcycle industry is concerned that the end of the grant will negatively affect the amount of new e-motorcycle customers.
Effects of the PiMG grant on electric two-wheeler registrations
The MCIA’s CEO Tony Campbell has highlighted the link between previous changes to the PiMG policy and its impact on new electric two wheeler registrations.
After the grant amount was reduced in 2023, e-motorcycle registrations reduced by 38.6%. Then, when the grant excluded support for electric moped purchases, registrations decreased by another 39.2%.
For the first two months of 2026, the MICA revealed that just 250 electric motorcycles were registered in the UK, a decrease from 299 in 2025. With the absence of the subsidy, it looks likely that numbers will keep declining.
Campbell said the following about the correlation of the grant and electric motorcycle uptake.
“These numbers show the market responds immediately when support is withdrawn. Without action, we risk a sharp drop in uptake just as the transition to low- and zero-emission transport should be accelerating.”
Industry predictions if the grant is not extended
To anticipate a reality without the grant, the MCIA commissioned WPI Economics to forecast predictions about how much the adoption of zero-emission two-wheelers could slow down with the absence of the PiMG.
The WPI predicted that it could result in around 6,500 fewer e-motorcycles being sold by the end of the decade, which is the equivalent to the market losing 2 and a half years of current growth, eliminating as much as £50 million from the sector.
Campbell emphasises his concerns for the industry as he acknowledges the contrast in funding for e-motorcycles and the heavier electric car.
“The expiry of the Plug-in Motorcycle Grant represents a clear policy cliff edge. At a time when government is investing heavily in the transition to electric cars, it makes little sense for smaller, more energy-efficient vehicles to be left without any form of support.”
The lack of financial assistance for two-wheelers could drive more individuals and businesses to opt for larger combustion vehicles, increasing urban congestion and emissions. A possible consequence could also be road safety concerns from a potential rise in high-speed, illegally modified e-bikes.
Urging the government for assistance
The MCIA has led a coalition of manufacturers, dealers, logistics operators and road safety organisations to urge the government to avoid an “avoidable policy shock”. The coalition has written a letter to ministers at the HM Treasury, the Department for Transport, and the Department for Business and Trade.
The letter asks the UK government to:
- Extend the PiMG for at least 12 months
- Evaluate the £10,000 price cap to better reflect current market realities
- Reintroduce mopeds and extend eligibility with the inclusion of L6 and L7 light electric vehicles
Industry stakeholders emphasise that even a short-term extension would help to stabilise the market as a longer-term policy framework is developed.
The Executive Director of the National Motorcyclists Council, Craig Carey-Clinch, states that with the current policy imbalance, there is a risk of undercutting the UK’s broader decarbonisation effort. “Consumers will need support whether they are in a car or on two wheels. The plug-in motorcycle grant remains one of the few meaningful incentives encouraging riders to switch to zero-emission vehicles.”
What’s next?
Tony Campbell had explained that in March, the MCIA had meetings with a sub-department of DfT, the OZEF (Office for Zero Emission Vehicles), and plans to put together a thorough 360 plan ahead of the Autumn budget to clarify how the electric motorcycle sector can be incentivised.
When recently asked by media outlet Motorcycle News about extending the grant, a spokesperson for the Department for Transport (DfT) said the following: “This grant supported over 15,000 riders to switch to electric, but we need to focus funding on vehicles that have the highest impact to our environment.”