PHEV Tax Incentives in Europe 2025: Country-by-Country Guide
Various tax incentives and discounts are available for plug-in hybrid vehicles in European countries. This guide summarizes current incentives by country as of 2025.
Germany:- Environmental Bonus: €4,500 (for vehicles under €25,000)- Environmental Bonus: €3,000 (for vehicles under €65,000)- Car Tax: CO₂-based, advantageous for PHEVs- Company Vehicles: %0.25 tax advantage
France:- Bonus Écologique: €2,000 (PHEVs under €47,000)- Prime à la Conversion: Up to €5,000 for old vehicle replacement- City Center Access: Free or discounted
UK:- Plug-in Car Grant: Removed (from 2022)- Benefit-in-Kind (BiK): 8% company car tax rate- Road Tax: Free first year, then €10/year
Netherlands:- BPM Discount: 50% discount for PHEVs- MRB Tax Discount: Due to low CO₂ emissions- Company Vehicles: 14% tax advantage
Belgium:- Federal Bonus: €5,000 (CO₂ < 50 g/km)- Regional Discounts: Additional discounts in Flanders, Wallonia, and Brussels
Spain:- MOVES Plan: Up to €4,500 discount- Old Vehicle Replacement: Additional €1,000 discount- City Center Parking: Free
Italy:- Ecobonus: €3,000-6,000 discount range- Scrappage Bonus: For old vehicle replacement- City Traffic: Free access in ZTL zones
Sweden:- Super Green Car Bonus: 60,000 SEK (approximately €5,500)- Company Vehicles: 20% tax discount
Norway:- VAT Discount: 25% VAT discount- Road Tax: Free- Ferries and Tunnels: Free or discounted
Denmark:- Registration Tax: CO₂-based, advantageous for PHEVs- Company Vehicles: 25% tax discount
Important Notes:- Incentives are frequently updated, check before purchase- Most incentives depend on CO₂ emission levels- Additional advantages available for corporate fleets- Regional differences in some countries
These incentives significantly reduce the cost of PHEV ownership and are particularly advantageous for corporate fleets.
