Sadiq Khan launches £110m scrappage scheme to support disabled Londoners, charities, sole traders and business

The Mayor of London, Sadiq Khan, has today launched the biggest scrappage scheme ever £110m to support Londoners on lower incomes, disabled Londoners, charities, sole traders and business with 10 or fewer employees to replace or retrofit their old, polluting vehicles.

To accompany the scrappage scheme, the Mayor and TfL are also announcing a host of ULEZ support offers from businesses, including additional exclusive offers for successful applicants of the scrappage scheme. This will enable Londoners to benefit from discounts on subscriptions, rentals and purchases of bicycles, e-bikes, cargo bikes, cars and vans from companies including Brompton, Enterprise and Santander Cycles.

It follows the Mayor’s decision to expand London’s Ultra Low Emission Zone (ULEZ) London-wide in August this year, which will mean five million more Londoners will be able to breathe cleaner air.

Already around 94 percent of vehicles seen driving in inner and central London, and 85 per cent of vehicles seen driving in outer London meet ULEZ standards, meaning the vast majority of drivers will not need to pay. The new scrappage scheme and grace periods will help drivers of the remaining non-compliant vehicles prepare.

Sadiq launched the scrappage scheme today at the Felix Project’s warehouse in Enfield. He met recipients of the past scrappage schemes, organisations supporting the scheme through ULEZ support offers and retrofit solutions, and organisations representing groups who will benefit from the scheme.

Londoners receiving certain means-tested benefits and non-means-tested disability benefits can apply for cash grants of up to £2,000 to scrap their non-compliant cars or motorcycles. As a new feature, successful applicants can choose to receive a higher value package comprised of up to two free annual bus and tram passes and a lower cash grant.

Charities, sole traders and business with 10 or fewer employees registered in London can apply to scrap a van (£5,000 grant) or a minibus (£7,000 grant), retrofit certain vans or minibuses (£5,000 grant) or scrap and replace a van or minibus with a fully electric vehicle (£7,500 or £9,500 grant respectively).

In addition to the scrappage scheme, the Mayor has listened to Londoners and is providing further support for disabled people, through new and extended grace periods. Applications for the new grace periods also open today and the Mayor is encouraging everyone who is eligible to apply.

The two new grace periods provide exemptions until October 2027 for recipients of certain disability benefits (or their nominated driver) and for all wheelchair accessible vehicles and some vehicles with other adaptations. The grace periods are available to all eligible people or a nominated driver regardless of whether they live in London, and they will apply to the current ULEZ zone as well.

The Mayor of London, Sadiq Khan said: “I took the difficult decision to expand the ULEZ because it will save lives, help tackle the climate crisis and reduce congestion. We have made huge progress in central and inner London but there is much more to do in outer London.

“The health of Londoners must come first and I know that expanding the ULEZ London-wide, alongside this £110m scrappage scheme, will help us to continue building a greener, fairer and healthier London for everyone”


By Mark Adair – Correspondent, Bdaily

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