The Fiat 500e is now eligible for the Government’s maximum Electric Car Grant, dropping the starting price to £17,245 OTR.

All variants of the all-electric city car qualify for the Band 1 grant, which is worth £3,750.

This full grant eligibility combines with Fiat’s own electric vehicle price repositioning strategy implemented earlier this year, positioning the 500e as one of the most competitive entry points into the electric vehicle market. To secure eligibility for the full Band 1 grant, vehicles must clear strict environmental, range and manufacturing sustainability criteria.

The resulting sub-£18,000 entry price puts the Italian manufacturer in a strong position against emerging budget EV rivals, while offering drivers signature retro Italian styling, compact dimensions and urban practicality.

The low entry price aims to tempt drivers away from combustion engines at a time when conventional fuel prices remain highly elevated.

“This is another significant step from FIAT in making electric mobility even more accessible to a wider audience,” said Kris Cholmondeley, managing director at Fiat UK.

“The Fiat 500e is an iconic model that combines style, city-friendly practicality and zero-emissions driving. The introduction of the £3,750 government Electric Car Grant makes it an increasingly attractive proposition for customers considering the switch to electric.”