The government’s decision to boost funding for electric lorries has been welcomed by the logistics industry, but businesses are warning that short-term support alone will not deliver the long-term shift to low-emission transport.
An additional £18m has been allocated to the Plug-in Truck Grant scheme, increasing support for electric HGVs to as much as £120,000 per vehicle. Logistics UK said the move sends a positive signal to operators considering investment in zero-emission trucks, but stressed that certainty beyond the current March 2026 deadline is essential if the sector is to plan with confidence.
Lamech Solomon, head of decarbonisation policy at Logistics UK, said the grant remains “fundamental to the continued uptake of electric HGVs” and described the higher support level as “a welcome step forward that can help support the business case for industry to invest”. However, he warned that long procurement cycles mean operators need assurance that current grant levels will remain in place well beyond 2026.
He pointed to recent research by the organisation showing that more than 60% of respondents believe the government has not provided sufficient funding to support the decarbonisation of their fleets, highlighting the scale of the challenge still facing the sector.
Alongside vehicle costs, a lack of suitable charging infrastructure continues to be a major barrier to fleet electrification. According to Logistics UK’s latest survey, 85% of operators expressed low confidence in the availability of appropriate public charging facilities, while more than 80% disagreed that they could install chargers with enough capacity at their operating sites.
Mr Solomon said commercial and operational viability would always drive investment decisions, adding that while the logistics sector is committed to decarbonising, greater government support is needed to make the transition achievable in practice.
The funding announcement coincides with the launch of a consultation on the regulatory roadmap to phase out the sale of new non-zero emission HGVs. Logistics UK said the issues of cost, infrastructure and operational feasibility must be fully considered as part of that process.
Mr Solomon said it was vital that “the voice of industry must be heard”, calling on government to work closely with operators to develop a realistic route to decarbonisation that recognises multiple technology options. He added that any approach must ensure goods and supplies “continue to move smoothly through the UK supply chains” as the transition gathers pace.