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Fleets offered funding to switch from vans to e-cargo bikes

Fleets can now sign up to receive a share of a total £2m funding for the acquisition of e-cargo bikes, in a move to support greener last-mile deliveries.

Sainsbury's South London trial of electric cargo bikes could be rolled out elsewhere.
Sainsbury’s South London trial of electric cargo bikes could be rolled out elsewhere.

Administered by the Energy Saving Trust, the e-Cargo Bike Grant from the Department for Transport covers up to 20% of the total cost of an e-cargo bike, up to a maximum of £1,000 per bike. To be eligible for funding, an e-cargo bike must have a minimum 125-litre cargo volume capacity and minimum 130kg weight capacity (combined rider and cargo weight).

This funding is available to limited companies, sole traders, partnerships, charities and not-for-profit organisations who meet the eligibility criteria and sign up to a Code of Practice. Public, community or third sector organisations are also eligible providing they also meet the eligibility criteria.

Commenting on the scheme, Matthew Eastwood, head of transport at the Energy Saving Trust, said: “The Department for Transport’s e-Cargo Bike Grant Fund will support the adoption of e-cargo bikes by businesses in England. An e-cargo bike has the potential to be faster through traffic than a van and offer much lower operating costs. They are a practical sustainable transport solution for urban deliveries, generating zero emissions therefore contributing to improved air quality.”

The launch of the scheme follows successful e-Cargobikes trials in May 2018. The project saw, with funding from DfT’s Innovation Challenge Fund, work with Sainsbury’s to trial the use of electric cargo bikes to deliver groceries. The trial showed that 96.7% of orders could be fulfilled in a single e-cargo bike drop. It also demonstrated shorter delivery routes and journey times, and increased traffic flow in urban residential areas, as well as evidence of shorter ‘doorstep’ times.

More recently, the Government has announced plans to look into e-cargo bike trailers as part of a review into urban mobility. And the Co-op has introduced a new electric bike home delivery service to bring zero-emission running and fast delivery times in London.

To apply for the e-Cargo Bike Grant Fund, click here.

For more information regarding the fund, contact [email protected] or call 0808 108 9414, while the information pack for the scheme, including FAQs, and initial list of suppliers and retailers whose ecargo bikes are eligible for the funding, can be found here.

For more of the latest industry news, click here.

Written by Natalie Middleton

Natalie has worked as a fleet journalist for 16 years, previously as assistant editor on the former Company Car magazine before joining Fleet World in 2006. Prior to this, she worked on a range of B2B titles, including Insurance Age and Insurance Day. As Business Editor, Natalie ensures the group websites and newsletters are updated with the latest news.

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