Electric car discounts in 2026 – Fiat goes first with big EV price cuts

Fiat 500e city car gets a £4,000 price cut, 600e SUV gets £3,285 drop – cuts replace Fiat’s version of the Electric Car Grant

The Fiat 500e is now available from £20,995 including a £4,000 discount (Fiat)

With the government’s Electric Car Grant getting more car buyers into electric vehicles, car makers whose models aren’t eligible for the official discount are under growing pressure to keep their EVs affordable.

Fiat has become the first manufacturer to fire the starting gun on 2026 discounts, announcing substantial reductions across its electric line-up. None of Fiat’s current electric models get official government support, so the brand has opted to cut list prices directly, replacing its own Fiat E-Grant with across-the-board reductions that are available immediately.

The headline figure is a £4,040 drop on the Fiat 500e, which now starts at £20,995. The larger Fiat 600e SUV sees a £3,285 cut, bringing its entry price down to £26,750. Performance-focused electric models from Abarth are also included, with reductions of between £1,890 and £2,990 depending on model and trim.

These price cuts come as Fiat is preparing for the UK arrival of the new electric Grande Panda later this year, followed by the launch of a new 500 Hybrid in summer 2026. By aligning electric and hybrid pricing more closely, Fiat appears keen to remove one of the biggest psychological barriers to EV adoption: the upfront cost.

For buyers, the numbers are now easier to digest. The Fiat 500e sits firmly in city-car territory on price, while the 600e is pitched directly against a raft of small SUV alternatives.

Fiat's 600e small SUV gets a £3,285 price cut (Fiat)

Fiat UK marketing director Victoria Hatfield said: “Fiat is passionately committed to making electrified driving more accessible to customers, and with this new pricing structure for our fully electric line-up of vehicles we are starting the new year by making this transition more affordable and straightforward for drivers.

“There are no complications with Fiat if you want a great value electric vehicle. With our transparent pricing policies drivers can simply choose from our range of award-winning models to enjoy Italian style and affordable electric motoring.”

The Fiat 500e remains a compact urban car first and foremost, with a choice of 24kWh or 42kWh batteries and a maximum claimed range of up to 199 miles. With most daily journeys adding up to around 25 miles, that range should still be fine for many. But longer journeys will require planning, especially when compared with newer electric cars offering faster charging and longer ranges.

The Fiat 600e addresses some of those concerns, offering over 250 miles of claimed range and a more family-friendly five-door layout. Its performance is respectable rather than headline-grabbing, but it fits neatly into the growing class of compact electric SUVs aimed at everyday use rather than outright efficiency or speed.

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Abarth’s electric models take a different approach. The Abarth 500e adds sharper acceleration and a more aggressive character – plus a synthesised, exhaust-like soundtrack – to the standard car, while the range-topping Abarth 600e is firmly positioned as a hot hatch alternative, with serious power and chassis upgrades developed alongside Stellantis Motorsport engineers.