Taxi Incentive Scheme

Only a few more applications are available for the Low Emission Taxi Incentive Scheme. We encourage any taxi or private hire drivers who are still considering taking part in the scheme to act soon while funds last.

Low Emission Taxi Incentive Scheme

We are offering cashback on licensing costs for you to replace your older, more polluting vehicle with a new or used low emission alternative.

We have extended the deadline for applications for the full cashback amount to 31 December 2021. Due to the current COVID-19 pandemic, we have extended this to enable more of our taxi trade to take advantage of the scheme. This is still based on a first come first served basis, so we encourage you to take advantage of it sooner rather than later.

Applicants are strongly advised to submit their application forms before purchasing the proposed vehicle. This will allow the licensing department to confirm that the new vehicle is valid for the scheme, that the applicant can fulfil all other terms and conditions and that funding is still available. The Council accepts no liability whatsoever to applicants in respect of any loss arising from the purchase of a vehicle that is found not to meet the required conditions for grant funding. If you are unsure whether your application will be successful, please contact the licensing department or clean air team through the email addresses given below before buying the new vehicle.

Option Description May 2019 - 31 Dec 2021
A - Full electric A vehicle with an original specification of being powered only by a battery charged from the electricity grid £3,000
B - Plug-in Hybrid Electric Vehicle (PHEV) A vehicle with an original specification of being powered by a plug-in battery and an Internal Combustion Engine (ICE). After the battery range is utilised the vehicle reverts to conventional hybrid operation (Minimum Euro 4 Petrol or Euro 6 Diesel) £2,000
C - Full Hybrid Electric A vehicle with an original specification of being powered by an ICE and is capable of being powered solely using a battery and electric motor. Battery cannot be plugged in, and is charged during driving. (Minimum Euro 4 Petrol or Euro 6 Diesel Engine) £1,500
D - Euro 5 or 6 petrol or Euro 6 Diesel (5-8 passengers or wheelchair accessible only) A vehicle meeting Euro 5 or 6 European emission standard if petrol, or Euro 6 if diesel, and licensed to carry 5-8 passengers or is wheelchair accessible. Euro 6 diesel only available for Southampton licensed vehicles. Only available for replacing existing 5-8 passenger or wheelchair accessible vehicles £1,500

Key terms and conditions

  1. The current vehicle must be a Euro 3 petrol or Euro 5 diesel or older
  2. You must have been the current vehicle's proprietor for at least the previous 12 months
  3. The current vehicle has been licensed in Southampton for at least the previous 12 months
  4. The current vehicle has driven at least 8,000 miles in the previous 12 months
  5. The current vehicle won't be re-licensed as a taxi or private hire vehicle
  6. The new vehicle will meet all other licensing requirements
  7. The new vehicle has not already been licensed as a taxi or private hire vehicle in Southampton
  8. The new vehicle will remain licensed in Southampton under the same plate number for three years with the same proprietorship
  9. Vehicle proprietors are limited to a maximum grant award of £15,000 each
  10. Applications will only be considered when submitted prior to the new vehicle being licensed
  11. Option D is only available if replacing a current vehicle that is licensed as a 5-8 passenger vehicle or is wheelchair accessible

The above terms are subject to change at the discretion of Southampton City Council. A full set of terms will be issued with any formal grant offer.

How to apply

  1. Application forms can be requested from the licensing department or downloaded from the link below
  2. The application forms must be sent to the licensing department
  3. If you're successful, you'll need to sign a conditional grant offer
  4. Once you've received the offer, replace your vehicle and then you will receive a cheque for the grant

Low emission taxi application form

Southampton City Council may at its absolute discretion reject any application and will give reasons for that decision.