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11/07/2025

Scottish Govt Unveils £2m Fund To Accelerate HGV Decarbonisation

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The Scottish Government has today launched a significant new initiative, the £2 million Heavy Goods Vehicle (HGV) Market Readiness Fund for 2025-26, signalling a clear commitment to accelerating the decarbonisation of Scotland's road freight sector. The fund is specifically designed to encourage collaborative efforts among HGV operators, manufacturers, financiers, and charge point operators, aiming to identify and drive crucial investment in HGV decarbonisation technology.

This strategic investment builds directly upon the HGV Decarbonisation Pathway developed in 2024, as well as earlier analytical work focused on optimal charging infrastructure placement for zero-emission HGVs. Its dual purpose is to both bolster the Scottish economy and substantially reduce the transport emissions associated with road freight.
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Cabinet Secretary for Transport Fiona Hyslop underlined the fund's importance. "We know we need to reduce transport emissions and we know that the decarbonisation of HGVs requires real innovation and a truly collaborative approach – which is why I'm pleased to announce £2 million for the HGV Market Readiness Fund," she stated. Drawing on previous successes, Ms Hyslop added, "We're taking the experience and approach developed for bus decarbonisation and applying it to the HGV sector." She also highlighted a dedicated allocation within the fund, confirming, "we have set aside £1 million of this funding to specifically support smaller operators," ensuring no sector is left behind in the journey to a net-zero transport system.

The fund has been warmly received by industry stakeholders. Chris Ashley, Net Zero lead for the Road Haulage Association (RHA), expressed his delight, calling the investment "invaluable, particularly for smaller businesses with limited back-office capabilities." He noted it as a "welcome boost when costs and a lack of public charging sites continue to hold businesses back." Lamech Solomon, Head of Decarbonisation Policy at Logistics UK, echoed this sentiment, stating that members believe the fund will be a "critical step towards the decarbonisation of Scotland's HGV fleet," helping to overcome initial barriers to investment through early collaboration.

The launch of this fund marks a significant stride in Scotland's commitment to achieving its climate change targets by fostering innovation and partnership across a critical economic sector.

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