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The Department for Transport has made £2 million funding available for the acquisition of eCargo bikes, to support green last mile deliveries.

This funding is available to limited companies, sole traders, partnerships, charities and not-for-profit organisations. The eCargo Bike Grant funding covers up to 20% of the total cost of an eCargo bike, up to a maximum of £1,000 per bike.

It builds on previous government-funded UK trials for e-cargo bikes in Spring 2017. The Department for Transport’s Innovation Challenge Fund grant enabled London-based e-cargo Bikes to set up their first Micro Hub on an industrial estate in Islington from which grocery delivery trials with Sainsbury’s were conducted.

The trials exceeded expectations in its potential commercial viability and efficiency, which showed that 96.7% of orders could be fulfilled in a single e-cargo bike drop.


“E-Cargo Bikes are a great alternative for some 20 percent of all delivery vans currently operating in large cities”.

This was the conclusion of a recently published two-year study into the use of “Light Electric Freight Vehicles” for city logistics by Amsterdam and Rotterdam Universities.

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