December 17, 2025

EU stops new electric car premium — what does that mean for those who want to drive an electric car?

The EU's rejection of the electric car premium creates uncertainty for anyone planning an electric car purchase. Now new rules await -- and time is running out to get the support in place.

Tom svart skärm med två små fyrkanter, en svart och en grön, nära botten.

The government's proposal for a new electric car premium recently received rejected by the EU. The reason? The premium was not considered to be sufficiently targeted at households with the greatest need. Now the proposal has to be redone -- and time is short. The Swedish Environmental Protection Agency is working fully on a new scheme to be approved by the EU before launching next year.

Why was the premium stopped?

The EU's criticism is that the aid did not benefit the right target audience. The aim of the new premium is to help households with low incomes and limited access to public transport switch to electric cars. The proposal that was submitted was judged ineffective and risked missing out on those very households.

What happens now?

Among other things, the revised proposal includes:

  • The bonus is reduced from £54,000 to £46,800 for households with up to 80% of median income.
  • For households with the lowest incomes, the subsidy will be increased to SEK 64,800.
  • The price cap for the car will be lowered from SEK 500,000 to SEK 450,000 to reduce the risk of high income earners taking part in the subsidy.

The aim is clear: the aid is not intended to drive sales of expensive electric cars, but to make it easier for those who need the car most in everyday life and at the same time are most affected by the new EU ETS.

What does this mean for you who are planning an electric car purchase?

If you live in sparsely populated areas or in an area with poor public transport and have a lower household income, you may be eligible for the aid. But keep in mind that the rules will be tougher than before:

  • The bonus applies to both new and used electric cars, purchased or leased.
  • Payment is made on a monthly basis, not as a lump sum.
  • You must not have previously owned an electric car or plug-in hybrid.

ChargeNode's perspective

We at ChargeNode are following developments closely. For us, the transition is not just about more people being able to buy electric cars — but that charging should be smart, cost-effective and accessible. With the right charging solution can households and housing associations avoid high power charges and save thousands of dollars every year.

Want to know more about how you can future-proof your charging? Read our guide on how to reduce the cost of electric car charging and why dynamic load balancing is the key to a sustainable investment.

Are you interested? Let us tell you more.

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