Mayor Sadiq Khan has doubled the incentive for small businesses to scrap polluting vans.
The “green fund” was launched in February 2019 to assist fleets with the Ultra Low Emission Zone (ULEZ). However, during its first year only 10 per cent (£2.3 million) of the allocated £23 million fund has been spent. Following these disappointing figures, the Mayor has announced an increase in the funding incentive for scrapping a van that frequently enters Central London in breach of the ULEZ.
The funding incentive for scrapping a non-compliant vehicle, will be doubled to £7,000. Additionally, the amount available to firms switching to an electric van or Euro 6 vehicle will increase from £6,000 to £9,500. Funding has also been expanded to include small businesses with up to 50 employees where previously the limit was only ten employees.
As of 7 January, over 1,500 applications have been received, 476 polluting vehicles have been scrapped and £947,000 has been paid to participating companies.
Later this year the scheme will be further expanded to include HGVs and coaches with approximately £15,000 per vehicle available.
To learn more on the scrappage scheme, click here.