Advice

What is the ULEZ car scrappage scheme?

A grant of up to £2000 is now available for all Greater London residents that own a non-compliant vehicle

ebay scrapyard feature

On 29 August 2023 the Ultra Low Emission Zone (ULEZ) will expand to cover the whole of Greater London to help improve air quality.

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Currently, the zone covers all areas within the North and South Circular roads (not including the roads themselves), with drivers of non-compliant vehicles being required to pay a daily charge of £12.50.

To help London residents switch to a ULEZ-compliant car, the Mayor of London has put in place a scrappage scheme to help residents with the cost of replacing a non-compliant car with a new one.

Here, we’ll tell you who is eligible and how much you could receive.

What is the ULEZ scrappage scheme?

Scrapyard

In January 2023, the Mayor of London, Sadiq Khan, launched a £110 million scrappage scheme for residents to trade in their older, non-compliant cars for newer, less polluting ones with a grant of up to £2000. Initially, the scheme was only available to those on certain low incomes and disability benefits.

George Hill

Updated: 22 August 2023

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But in August 2023, just days before the ULEZ zone expansion, the scheme was extended for all residents in London’s 32 Boroughs. To be eligible for the grant, residents must own a non-compliant vehicle. This includes cars, motorcycles (including mopeds, motorised tricycles and quadricycles) or wheelchair accessible vehicles (including cars and vans).

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The vehicle must be registered to the applicant (at the applicant’s address) with the Driver and Vehicle Licensing Agency (DVLA) on or before 30 January 2022. The vehicle must also have valid insurance, road tax and MOT.

The scheme is available on a first-come, first-served basis.

A similar scheme is available for owners of non-compliant vans.

If you have a non-compliant car, and are thinking of selling it, one option is to let dealers bid for it online at websites such as motorway.co.uk.

Is my car ULEZ compliant?

A road in the London Ultra Low Emission Zone

For a car to be ULEZ compliant, it must meet the following emissions standards for both Nitrogen Oxide (NOx) and Particulate Matter (PM):

Euro 4 for petrol cars
Euro 6 for diesel cars
Euro 3 for motorcycles, mopeds, motorised tricycles and quadricycles

This means that petrol cars generally registered after 2005 are compliant, and diesel cars generally registered after September 2015 are compliant. Some cars older than those dates are known to meet the standards however, so it’s worth checking your vehicle with the Transport for London ULEZ checker.

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Motorway

How much can I claim on the ULEZ scrappage grant?

pile of scrap cars

Greater London residents that own a non-compliant vehicle can claim:

Scrap a car – £2,000
Scrap a car – £1,600 plus an adult-rate Annual Bus & Tram Pass
Scrap a car – £1,200 plus two adult-rate Annual Bus & Tram Passes
Scrap a motorcycle – £1,000
Scrap a motorcycle – £600 plus one adult-rate Annual Bus & Tram Pass
Scrap a motorcycle – £200 plus two adult-rate Annual Bus & Tram Passes
Scrap a wheelchair accessible vehicle (car or van) – £10,000 (previously £5,000)
Retrofit a wheelchair accessible vehicle (van only) – £6,000 (previously £5,000)

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