Electric Car Charging Points Tax Relief UK 2026: Workplace and Home Schemes

Tax relief and grant support for electric vehicle charging points in the UK sits across several schemes administered by the Office for Zero Emission Vehicles (OZEV) and HMRC. The Workplace Charging Scheme gives employers £350 per socket toward the purchase and installation of charging points, up to 40 sockets. The EV chargepoint grant for households offers £350 per installation for renters and flat owners who cannot access the employer route. Businesses benefit from 100 percent First Year Allowance on chargepoint installations, reducing taxable profit. Salary sacrifice arrangements for home charger installations provide employer-administered relief to employees. This guide covers each route, the eligibility rules, the cap levels and how the schemes interact with the broader EV taxation framework following the April 2025 reforms.

OZEV Workplace Charging Scheme in detail

The Workplace Charging Scheme (WCS), administered by the Office for Zero Emission Vehicles via gov.uk/government/publications/workplace-charging-scheme, provides employers with a voucher for £350 per socket toward the purchase and installation of EV charging points. Each eligible employer can claim for up to 40 sockets across all sites. The scheme targets businesses, charities and public sector organisations.

Vouchers are issued to the employer and redeemed by an OZEV-authorised installer at the point of installation. The employer does not receive cash; the grant reduces the installer's invoice directly. Installation must be completed within 6 months of voucher issue. Employers must own or have long-term rights to the premises where chargers are installed.

EV chargepoint grant for renters and flat owners

The EV chargepoint grant, also administered by OZEV, provides £350 per installation for renters and flat owners who cannot benefit from the employer scheme. The grant is available to applicants who rent their home, own a flat, or have a shared-use dedicated parking space. The broader homeowner EV chargepoint grant closed to single-property homeowners in April 2022, reflecting the maturing EV charger market.

The scheme covers smart chargers (those able to respond to grid signals) of up to 7kW capacity. Installation must be by an OZEV-authorised installer. Applications are submitted through the installer using the applicant's eligibility evidence (tenancy agreement, flat ownership documents, or parking space allocation).

100 percent First Year Allowance for business chargers

Businesses installing EV chargepoints benefit from 100 percent First Year Allowance under the Capital Allowances Act 2001, originally extended through to at least 2026. The entire cost of chargepoint equipment and installation can be deducted from taxable profit in the year of purchase, rather than being depreciated over several years. This makes business chargepoint investment particularly attractive in a strong trading year.

The First Year Allowance stacks with the OZEV WCS grant: businesses can claim both the £350 per socket grant and the 100 percent capital allowance on the net cost (installation price minus grant). For example, a £2,000 installation receiving a £350 grant leaves £1,650 net, and that £1,650 qualifies for the 100 percent allowance against corporation tax.

Salary sacrifice for home charger installation

Employees using salary sacrifice arrangements to finance a home charger installation via their employer can benefit from National Insurance and income tax relief on the gross cost. The employer purchases the charger and installs it at the employee's home, with the cost recovered through reduced gross salary over an agreed period. HMRC's employment income manual (EIM) treats the employer-provided home chargepoint as a £0 Benefit-in-Kind when installed at the employee's main residence.

Salary sacrifice combined with an EV company car arrangement produces the strongest overall tax advantage, since the low 3 percent BiK rate on the car and the £0 BiK on the charger stack together. Employees on higher rates of tax (40 percent or 45 percent) see the largest effective relief, with some salary sacrifice EV schemes reducing net-of-tax cost by 30-40 percent compared to a like-for-like petrol car purchased out of post-tax income.

Plug-in Van Grant and ancillary EV support

Alongside chargepoint support, OZEV also runs the Plug-in Van Grant, worth £2,500 for small vans up to 2,500kg and £5,000 for larger vans up to 4,250kg. The grant is deducted from the purchase price at the point of sale by participating dealers, reducing the net cost of electric van acquisition. Fleet operators combining the Plug-in Van Grant with the WCS chargepoint grant can materially reduce the up-front switch to an electric van fleet.

For two-wheeled EV riders, the separate Plug-in Motorcycle Grant provides support for electric motorbikes and mopeds at lower cap levels. Taxi and private hire operators may also access the Plug-in Taxi Grant for purpose-built zero-emission taxis such as the LEVC TX, worth up to £7,500. Each grant is separately administered but shares the OZEV central approval framework.

Home charger costs and typical installation

A standard 7kW smart home charger installed cost in the UK runs £800-£1,200 depending on the installer, charger brand and installation complexity. Brands such as Ohme, Pod Point, Wallbox, Easee and Andersen dominate the market. Installation typically takes 3-4 hours including commissioning. Complex installations with long cable runs or supply upgrades add cost.

Homeowners without access to the grant schemes simply pay the full installation cost and benefit from fuel cost savings on charging at home (typically 6-10p per kWh on a specific EV tariff, compared to 70p+ at public rapid chargers). Payback periods of 2-4 years are typical for moderate EV mileage.

Smart charger requirements and EV tariff compatibility

Since June 2022, chargers sold in the UK must comply with the Electric Vehicles (Smart Charge Points) Regulations 2021, requiring smart functionality including default off-peak charging, randomised delay, and cyber security standards. OZEV grant funding is conditional on the installed charger meeting these smart requirements. All major UK charger brands (Ohme, Pod Point, Wallbox, Easee, Andersen, Myenergi Zappi) manufacture compliant units.

Smart chargers work alongside dedicated EV tariffs from Octopus Energy, EDF, OVO and others, which offer cheaper off-peak electricity rates (typically 6-10p per kWh between midnight and 5am). The charger automatically times charging sessions to align with the cheap window, producing significant monthly fuel cost savings compared to flat-rate electricity.

Application process and typical timelines

For the WCS, employers apply via the gov.uk portal, providing business details and evidence of site ownership or long-term tenure. Approval typically takes 4-6 weeks. The voucher is valid for 6 months, meaning installation must complete within that window. For the EV chargepoint grant, applications are submitted through the installer directly using tenancy agreements, flat ownership documents or parking allocation evidence. Approval normally sits alongside the installation booking, with no separate grant wait period. Most UK installers handle the paperwork end-to-end on the applicant's behalf.

Frequently asked questions

Do homeowners still get an EV charger grant?

No. The homeowner EV chargepoint grant closed to single-property homeowners in April 2022. Renters, flat owners and those with shared parking can still access the £350 EV chargepoint grant.

How much is the OZEV Workplace Charging grant?

£350 per socket, up to 40 sockets per employer across all sites. The grant is issued as a voucher redeemed by an OZEV-authorised installer at the point of installation.

Can my business claim 100 percent First Year Allowance on chargers?

Yes, under the Capital Allowances Act 2001 extension. The entire cost of chargepoint equipment and installation (net of any OZEV grant) can be deducted from taxable profit in the year of purchase.

Is an employer-provided home charger a taxable benefit?

No. HMRC's employment income manual treats an employer-provided home chargepoint as a £0 Benefit-in-Kind, meaning no income tax or National Insurance charge on the employee.

How much does a home EV charger cost?

Typically £800-£1,200 installed for a 7kW smart charger from brands like Ohme, Pod Point, Wallbox, Easee or Andersen. Complex installations or supply upgrades add cost.

Can an employer salary sacrifice arrangement include a home charger?

Yes. The employer purchases the charger and installs it at the employee's home, with the cost recovered through reduced gross salary. NI and income tax relief apply on the gross cost.

What about company car tax on EVs?

The pure electric company car BiK rate for 2025-26 is 3 percent, rising gradually in subsequent tax years. This is dramatically lower than comparable petrol or diesel cars and makes EV company cars attractive for employees.

Sources

• UK Government, Workplace Charging Scheme, gov.uk/government/publications/workplace-charging-scheme (accessed 2026)
• UK Government, EV chargepoint grant for renters and flat owners (2026)
• HMRC Capital Allowances Act 2001, First Year Allowance extension
• HMRC Employment Income Manual, EV charger Benefit-in-Kind treatment
• UK Government, Company car tax BiK rates 2025-26, gov.uk (2025-26)
• UK Government, Vehicle tax rate tables, gov.uk/vehicle-tax-rate-tables (2025-26)
• OZEV installer authorisation guidance (2026)

Internal links: Electric car tax from April 2025 · Company car tax BiK 2026 · Electric van vehicle tax 2026