- Insights compiled by Leasing.com show that the UK’s area-specific Low Emission Zones (LEZs) and Clean Air Zones (CAZs) are seeing stronger levels of fully-electric van adoption, as businesses move to avoid costly charges to access these areas in non-compliant vehicles.
- The UK’s South East, which includes clean air zones such as Oxford and Portsmouth, has emerged as an electric van hotspot in the country, with over 31,700 electric vans already registered across the region.
- Whilst this clearly shows that policy is a driver of electric van adoption, it’s not the only thing required to convince all businesses to make the switch.
Clean air zones are making a difference for electrification
The UK’s various Low Emission Zones and Clean Air Zones are designed to persuade both people and businesses to switch to cleaner forms of transport, and while non-compliant vehicles can still largely enter these zones (for a fee), it seems that these policies are beginning to have a direct link with increased EV adoption – within the van sector in particular.
New data from Leasing.com shows that in the South East and South West of the UK, the number of electric vans has been significantly higher. This covers areas which already have clean air zones in place, such as Oxford, Portsmouth, Bristol, and Bath, which could suggest businesses are purchasing electric vans in direct response to these charges. With Bristol charging £9 per day for a non-compliant sub-3.5 tonne van, for example, that cost can quickly add up for tradespeople and businesses over a month – making electric vans a much more attractive proposition.
Even in regions which have seen less electric van uptake, Leasing.com still believes that demand is round the corner – with business enquiries for electric vans rising by 485%, year-on-year. That trend is backed up by recent figures from the Society of Motor Manufacturers and Traders, which found March 2025 to be the best month on record for electric van sales across the country – with 3,044 electric vans sold in the period, marking a 40.3% year-on-year increase.
These policies are not the only aspect driving electric van adoption, however. The rapid growth of the UK’s public charging network has also likely played a significant part, with the network growing an impressive 37% across 2024. The extension of the Plug-in Van Grant for another twelve months is also welcome news for the electric van industry.
Mike Fazal, CEO of Leasing.com, commented on the data:
“We’re seeing strong momentum in the electric van market, but infrastructure and costs remain barriers, despite the growth in charging infrastructure that we’ve seen in recent years. The vehicle excise duty changes, which will see electric vans taxed for the first time, could also impact adoption. That said, running costs for electric vans are still considerably cheaper than ICE counterparts. Plus, advancements in range, battery size, and payload capacity are helping to close the gap.
Beyond taxation, licensing reforms are also helping to reduce barriers to entry for businesses making the switch to electric. One of the long-standing limitations, weight classification, may soon be resolved through changes that allow more drivers to legally operate heavier zero-emission vehicles.
Soon, your standard driving licence holder (Category B) will be able to drive zero-emission vehicles up to 4.25 tonnes, addressing a long-standing issue where electric vans were classified as HGVs due to their heavy battery weight. Once implemented, it will provide businesses with greater flexibility in choosing electric vans without additional licensing requirements.”
