New cheapest electric car in Britain
This has slashed the price to £14,495 - undercutting Dacia's bargain battery model by £500 - to make it the most affordable new EV sold in Britain. Leapmotor's only other model sold in the UK, the C10 family SUV, is also being discounted by £3,750 with immediate effect. The size of these two price cuts matches the minimum and maximum discount being offered through Labour's new Electric Car Grant announced on Monday. However, while Leapmotor claims the 'Leap-Grant' is being offered to customers now to avoid delays waiting for the Government scheme's arrival, reports suggest it and other Chinese brands are unlikely to qualify for the taxpayer-funded subsidies at all.
The Electric Car Grant (ECG) - announced by Transport Secretary Heidi Alexander this week - is the Government's new big hope to reignite demand for EVs, as it continues to steer towards outlawing sales of new petrol and diesel cars in 2030. However, it won't be available with immediate effect. This is because manufacturers need to apply to be eligible for the scheme, which could take weeks, experts have hinted . Leapmotor UK says this is why it is, 'taking a proactive leap forward to help electric car buyers save up to £3,750 immediately, by launching its own self-funded EV grant, effective from today'.
It adds: 'This initiative makes Leapmotor the first car manufacturer in the UK to offer such a grant since the Government announced its own EV grant scheme, which won't kick in for consumers until next month.' For the Government scheme, only cars up to £37,000 qualify, which rules out premium models, including every Tesla on sale. No Audi, BMW or Mercedes EV will be eligible either. This might sound like good news for Leapmotor and its budget-friendly model offering, but reports have suggested it - and other Asian brands - will fail to meet a secondary stipulation put in place by government to qualify for the ECG.
In order to be eligible, manufacturers must meet specific sustainability criteria, based on the Science-Based Target (SBT). This is an industry-wide green standard providing scores for companies reflective of the carbon impact of manufacturing products - in this instance, electric cars and their batteries. Only the greenest companies will receive the full £3,750 grant subsidy, while those considered to only meet a lower band will be issued £1,500 discounts, the DfT has confirmed. However, vehicles that don't meet a minimum threshold - which is yet to be divulged - will not receive a grant at all.
Reports have suggested that Chinese EV makers could fall foul of the emissions-based rules. As could other Asian manufacturers, including those from Korea and Japan, according to Autocar . Speaking on the BBC's Today programme on Wednesday (16 July), Transport Minister Lilian Greenwood said she did not expect any cars that are produced in China to be eligible. 'The grant is restricted to those manufacturers that reach minimum environmental standards,' she said. 'And, frankly, if you generate a lot of the electricity that powers your factory through coal power stations, then you are not going to be able to access this grant.'
According to The Telegraph , the Chinese embassy has hit hack and the scheme's stringent requirements. It has called on the UK to follow World Trade Organisation (WTO) rules and create a 'non-discriminatory environment for investment'. WTO rules stipulate that members must not give favourable treatment to one country over another when it comes to trading goods and services. An embassy spokesperson added: 'The Chinese side is closely following the situation and will resolutely safeguard the legitimate rights and interests of Chinese companies.'
China's - and the world's - biggest EV maker, BYD, has informed the DfT of its intention to apply for eligibility for the Electric Car Grant and said it looks forward to being 'part of it'. Leapmotor says, like consumers, it is 'still waiting to learn which vehicles will qualify, how much financial support will be available, and when the grants will take effect'. Its terms and conditions say discounts are subject to orders placed between 18 July and 30 September 2025 from authorised Leapmotor retailers. However, if it fails to qualify for the Government grant on sustainability grounds, it might be forced to extend the deals.
That said, Dacia's Spring - which costs from £14,995 and has been Britain's cheapest EV for the last 12 months - is also produced in China. In fact, it's manufactured in Covid-originating Wuhan by Dongfeng Renault - a joint venture between Dacia's parent company Renault Group and Dongfeng Motor Group. Whether it will qualify for the Government's £1,500 to £3,750 grants is yet to be seen. For the next two months at least, the T03 is being knocked down from £15,995 to just £14,995 with a £1,500 discount applied.
Those using Personal Contract Purchase (PCP) finance can pick one up before the end of September for £169 per month and £169 deposit on 0 per cent APR for four years. The bigger C10 SUV is slashed by £3,750 to £32,750 or on a 0 per cent four-year PCP contract for £319 per month and £319 deposit. 'Our mission is to help make the leap to electric cars easy for UK drivers,' said Damien Dally, managing director at Leapmotor UK. 'We've decided to act now because we want to give customers clarity, confidence, and immediate savings – and make the switch to electric a simple choice.'
Both cars come with a four-year warranty, while their batteries are covered by a separate eight-year guarantee. Chinese rival Great Wall Motor (GWM) has also since launched its own £3,750 'Green Grant' for the Ora 03. 'The initiative follows the recent announcement that the UK Government's electric vehicle grant includes will focus on a specific set of vehicles, leaving many customers confused and waiting to see if models like Ora 03 will qualify,' the company said. It means the entry-level Ora 03 PURE now starts from £21,245.
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