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Who will be covered by the recent expansion of the scrappage scheme and grace periods?

On 4 August, the Mayor announced major changes to the scrappage scheme for the Ultra Low Emission Zone (ULEZ). Having listened to the concerns of Londoners over the recent months, particularly as a result of the impact of the cost-of-living crisis, eligibility for the scrappage scheme will massively widen and grants will increase for vans, minibuses, wheelchair accessible vehicles and retrofits. 

The Mayor plans to use £50 million of City Hall’s reserves to fund these changes – taking the total fund to £160 million from the initial £110m announced in 2022. 

From Friday 4 August, the below changes will be made to the scheme: 

  • grants for scrapping a non-compliant van will increase from £5,000 to £7,000
  • grants for wheelchair accessible vehicles will increase from £5,000 to £10,000
  • grants for scrapping minibuses will increase from £7,000 to £9,000
  • grants to replace a non-compliant van with electric van increase from £7,500 to £9,500
  • grants to replace a non-compliant minibus with an electric minibus increase from £9,500 to £11,500
  • retrofit grants increase from £5k to £6k, typically enough to cover the whole cost of retrofitting.

And from Monday 21 August, the following changes will be made to the scheme:

  • every single Londoner with a non ULEZ-compliant car or motorcycle will be eligible for a £2,000 grant (or £1,000 for a motorcycle), or a higher value package of up to two bus and tram passes plus a lower grant 
  • small businesses and sole traders will be able to apply to scrap up to three vehicles (from one).

More information can be found on the TfL website:

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