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Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure NL-2026-1/4283 – measures in Netherlands

Trade-in subsidy for fossil-fuel vehicles to support the purchase of second-hand electric cars

Inruilregeling fossiele brandstofauto's

Country Netherlands , applies nationwide
Time period Temporary, 01 January 2026 – 31 December 2028
Context Green Transition, Cost of Living Crisis
Type Legislations or other statutory regulations
Category Measures to prevent social hardship
– Protection of vulnerable groups (beyond employment support)
Author Thomas de Winter (Panteia) and Eurofound
Measure added 11 June 2026 (updated 23 June 2026)

Background information

The energy price shock triggered by the closure of the Strait of Hormuz placed a disproportionate financial burden on lower- and middle-income households, who tend to drive older, less fuel-efficient vehicles and have limited capacity to reduce fuel consumption. As part of the 'Acties Weerbaarheid Energieschok' package announced on 20 April 2026, the Dutch cabinet accelerated the introduction of a previously planned trade-in scheme for fossil-fuel vehicles. The scheme had originally been planned for 2027, but was brought forward to the fourth quarter of 2026 through a budgetary advance (kasschuif), shifting funds from 2029 to enable earlier opening. The measure explicitly aims to avoid a criticism levelled at earlier Dutch electric vehicle subsidies, notably the SEPP scheme, discontinued in January 2025, that tax advantages for electric vehicles disproportionately benefited higher-income groups and company car drivers. By targeting older vehicles and lower-income households, the 2026 scheme is designed to make the transition to electric driving accessible to a broader population while simultaneously reducing fossil fuel dependence.

Content of measure

The scheme offers households with lower and middle incomes a subsidy to trade in an old petrol or diesel vehicle for a second-hand fully electric car. The scheme specifically targets vehicles in emission class 1 to 4, broadly, petrol cars registered before approximately 2009 and diesel cars registered before approximately 2010, which must be scrapped as a condition of receiving support. The purchase must be of a used, fully electric vehicle; new electric vehicles are not covered. The total budget for the scheme is €52 million. Of this, €2 million is available in 2026, rising to €30 million in 2027 and €20 million in 2028. Funding comes from the Climate and Energy Fund (Klimaat- en energiefonds). The exact subsidy amount per vehicle, income thresholds, and the maximum purchase price of the eligible second-hand electric vehicle had not yet been confirmed at the time of announcement. Applications will be processed via RVO (Netherlands Enterprise Agency).

Use of measure

No uptake data available at time of entry. The scheme had not yet opened at the time of writing (June 2026). Given the €2 million budget in 2026, uptake in the first year is expected to be limited — an estimated 500 to 600 households.

Target groups

Workers Businesses Citizens
Does not apply to workers Does not apply to businesses People on low incomes

Actors and funding

Actors Funding
National government
National funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role No involvement No involvement
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: N/A

Involvement

No involvement reported.

Views and reactions

No specific reaction to this measure was identified from trade unions or employer organisations.

Sources

Citation

Eurofound (2026), Trade-in subsidy for fossil-fuel vehicles to support the purchase of second-hand electric cars, measure NL-2026-1/4283 (measures in Netherlands), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/NL-2026-1_4283.html

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