New cheapest EV in Britain revealed as Tesla rival knocks £1,500 off price of compact city car
5
The Leapmotor T03 city car is now on sale for just £14,495
5
That makes it £500 cheaper than the Dacia Spring
Credit: Newspress
That makes it £500 cheaper than the
The price drop applies immediately across the UK as Leapmotor looks to get ahead of the
The firm, which now sells its models through Vauxhall and Peugeot showrooms as part of a deal with European giant Stellantis, says it is offering customers an instant saving while the official subsidy remains weeks away.
Based in China, Leapmotor is also cutting the cost of its larger C10 SUV by £3,750.
Read more on Motors
The new price tag of £32,750 puts it well under the Government's £37,000 grant threshold.
Both cars qualify for 0 per cent finance deals and come with long warranties — four years on the car and eight years on the battery.
Transport Secretary Heidi Alexander confirmed the Government's new scheme on Monday.
The Electric Car Grant will offer between £1,500 and £3,750 off qualifying electric vehicles, depending on how sustainably they are made.
Most read in Motors
However, it's not available yet, as carmakers must apply for approval — a process that could take weeks.
That's left firms like Leapmotor in limbo.
The brand says its 'Leap-Grant' is a proactive move to give drivers savings now, before the Government scheme kicks in.
Managing director Damien Dally said the company wants to give drivers clarity, confidence and immediate savings.
But questions hang over whether Leapmotor — and other Chinese EV makers — will qualify at all.
To get the full Government grant, manufacturers must meet green targets under the Science-Based Targets initiative, a framework that rates the environmental impact of vehicle production, including energy use at factories.
Transport Minister Lilian Greenwood has warned that vehicles made in China may not be eligible.
Speaking on the BBC's Today programme, she said factories powered by coal are unlikely to meet the Government's strict criteria.
She added that only brands reaching minimum environmental standards will be approved for taxpayer support.
This has sparked tension with the Chinese government.
A spokesperson for the Chinese embassy in London said the UK must follow World Trade Organisation rules and avoid discriminatory policies.
They warned they are monitoring the situation closely and would defend the rights of Chinese companies.
'It swallows up the potholes and the bumps' cries car dealership owner over popular motor brand ideal for the countryside
Even
There's also doubt over the Dacia Spring's eligibility.
Although Dacia is a Renault-owned brand, the Spring is built in Wuhan, China, at a joint venture facility shared with Dongfeng Motor Group.
Seven low-cost electric cars expected to benefit from the grant — including the Dacia Spring, MG4, Peugeot e-208,
But with the Government now focusing on sustainability standards, many of those could also miss out on the full grant unless their makers can prove they meet the green benchmarks.
Tax payers are, however, footing the bill for the £650million subsidy scheme, including for EVs leased through Motability, prompting criticism from some quarters.
Commentators have questioned whether public funds should be used to make new cars cheaper for wealthier drivers at a time when many families are struggling to afford food.
The Government is also promising £63million to improve the UK's public charging infrastructure and £25million to help people without off-street parking charge their EVs at home.
But even Transport Secretary Heidi Alexander admitted she doesn't currently drive an electric vehicle herself, citing the cost.
For now, Leapmotor is pressing ahead with its own incentive.
The T03 is being offered on a four-year personal contract purchase plan at just £169 per month with a £169 deposit.
The larger C10 SUV comes in at £319 per month, also with a matching deposit and 0 per cent APR.
Both offers run until 30 September.
Whether the brand qualifies for official Government support or not, Leapmotor has made its move — and, for now at least, it means Britain's cheapest electric car is Chinese, costs just under £14.5k.
5
The new price tag of £32,750 puts it well under the Government's £37,000 grant threshold
Credit: Leapmotor
5
But even Transport Secretary Heidi Alexander admitted she doesn't currently drive an electric vehicle herself, citing the cost
Credit: Leapmotor
5
Seven low-cost electric cars expected to benefit from the grant
Credit: Getty
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
RTÉ News
2 hours ago
- RTÉ News
Ireland faces 15% tariff reality as EU-US deal takes shape
The EU and US are edging closer to a trade deal revolving around tariffs of 15% imposed on European goods. The details of any agreement will be critical. Recent discussions have come close to an agreement only to be derailed at the last minute by the White House - and that could happen again. Based on what is known so far, the EU-US deal would include a baseline tariff of 15%. Some existing tariffs would be folded into that 15% meaning it would be an all-in tariff. For example, it would include the existing "most favoured nation" duties of 4.8% which exist currently under World Trade Organisation rules. However, there would be some exceptions. The punitive 50% rate on steel and aluminum, introduced by US President Donald Trump on exports from the EU, would remain in place. It is understood that what may emerge is an agreement between the two sides that sees the threatened 1 August cliff edge of 30% tariffs on EU goods removed. It is now long past time to strike a deal. Tánaiste Simon Harris says he remains "cautiously optimistic" a deal could be reached for a "positive future EU-US trading relationship within the coming days". He adds: "It is now long past time to strike a deal." Under the framework, which is being negotiated, the US would have some immediate implementation steps, but some aspects would still need further negotiations. In a boost for Irish exporters, it is expected aircraft, medical devices and spirits would be covered by a zero for zero tariff arrangement. The critical part for Ireland is what would happen to exports of pharmaceuticals and computer chips to the US. At present, there are no tariffs on either sector while the US holds an investigation on national security grounds into imports of those goods. However, indications are that the investigation may result in the EU seeing a 15% tariff imposed on both pharmaceuticals and computer chips once the process concludes. If that rate is introduced, it would have significant consequences. Pharmaceuticals are Ireland's biggest export to the US and were valued at €44bn last year. Any company faced with a new tariff is going to have to figure out how it will be paid. Exporters will be asking whether they can make internal savings, adjust supply chains or pass it on to customers? Donald Trump told Taoiseach Micheál Martin on St Patrick's Day that Ireland "took" American pharmaceutical companies. But despite Mr Trump's comments, no US drug manufacturer with an operation in Ireland has so far threatened to relocate to America. The baseline tariff of 15% for many companies would have significant effects. Simon McKeever, CEO of the Irish Exporters Association, said his organisation would be looking for a "tariff adjustment fund" largely based on the Brexit Reserve Fund of €1bn, which was introduced to help companies when the UK left the EU. While there may be relief if a deal is agreed it would be a much worse trading environment than Irish companies faced last year. Tariffs are fundamentally bad for an export-led economy such as Ireland. Globally, the removal of trade barriers over recent decades has lifted millions of people in developing countries out of poverty. But perhaps the most damaging aspect of the trade war is that it has created enormous uncertainty and put many investments on hold in Ireland and elsewhere. If a deal is agreed companies will know the future landscape. And that is likely to unlock investments which had been put on hold.
Irish Independent
3 hours ago
- Irish Independent
How to make sure you can keep on top of your energy bill and stay warm
There are about 350,000 homes in arrears. What can you do to make sure you're getting the best value? Even with the heatwave over, it's still relatively warm, so most of us aren't thinking – yet – about sticking on the heating, or worrying about leaving the windows open. But just as autumn is not far away, neither are costly energy bills – and the Government has already been fielding ministers to warn that there will be no cost-of-living supports in Budget 2026.
Irish Independent
3 hours ago
- Irish Independent
Irish pensions will suffer without access to private markets, says Elkstone
Significant pension reforms in the US as well as UK initiatives to funnel funds to growth mean Ireland is now in danger of falling even further behind. Elkstone's Brian Merriman said he is relatively pessimistic of action in the coming Budget but argued long-term thinking is required – including leadership from Government – or future pension provision is going to fall significantly short in Ireland. He was commenting as the Trump administration is expected to sign an order that will allow the 401(k) pension plans used by millions of ordinary American workers access investment in private markets, including private equity, real estate, infrastructure schemes and higher return forms of lending. In Britain, Work and Pensions Secretary Liz Kendall announced this week that she is reviving a pension commission to tackle what she described as a coming 'tsunami of pensioner poverty' after her department found people due to retire from 2050 are on track to be poorer than those retiring today. Brian Merriman said there is now an expectation that returns from Irish pension savings will decline over time, if the current restrictive investing regime remains in place that in effect box most ordinary pensions savers into public investments like equities and bonds. Facilitating access to private markets would allow pension savers to benefit from higher returns, he said. Private market investments – hedge funds, private equity, venture capital investment in start-ups and private companies – have exploded in scale globally since the financial crisis of the late 2000s, while the role of traditional public assets has been in relative decline. Pension rules here have not reflected the shift, Mr Merriman said. Personal Retirement Savings Accounts (PRSA), a popular savings option, restrict investments in assets where fees may be higher or valuations are less transparent. High fees may well be justified where returns are higher, while the net return to investors should be the key consideration, Mr Merriman argues. Private capital investments are less liquid, which comes with less valuation transparency, but are suitable for long-term pension investing, he said. While high returns generally reflect higher risks, Mr Merriman said failing to open pensions to diverse investment opportunities creates its own problems. 'It is riskier not to be investing in private markets,' he said. ADVERTISEMENT A shift to facilitate Irish savers would benefit the domestic economy too, he said. 'The UK is also grappling with this question of do you force people to invest in the UK economy. In Ireland we should at a minimum have it as an opt out, so you'd have to make a decision not to put 5pc or 10pc of your investment into Irish investments.' He cited housing and infrastructure as areas where the Irish economy needs investment and where Irish savers are not active. Pointing to the push happening in the US and UK to funnel pensions into growth opportunities he said Ireland needs to be more agile and should look to get ahead rather than just catch up with other regimes. Elkstone's investments include a string of Irish tech start-ups as well as housing and student housing schemes. It advises wealthy families and individuals on their long-term investments. Opening such schemes to ordinary pensions would allow more people to access higher returns, Mr Merriman said.
