CMA Subsidy Advice Unit Publishes Final Report on OZEV's £190m EV Charging Scheme, Identifying Gaps in Additionality and Competition Assessment
On 4 November 2026, the Competition and Markets Authority's Subsidy Advice Unit (SAU) published its final report evaluating the Office for Zero Emission Vehicles (OZEV)'s proposed Strategic Charging Infrastructure Scheme. The scheme, which carries an indicative allocation of £190 million drawn from the £400 million announced at Spending Review 2025, aims to expand open-access electric vehicle (EV) charging at Motorway Service Areas (MSAs) across England by funding electricity network upgrades at selected sites. The SAU's evaluation was conducted under section 52 of the Subsidy Control Act 2022 and applies the four-step framework set out in the statutory guidance for the UK subsidy control regime. The report provides non-binding advice to OZEV and does not itself determine whether the scheme may proceed. While the SAU acknowledged that OZEV had clearly evidenced the scheme's policy objective and carried out a comprehensive balancing test, it identified several areas requiring improvement. Specifically, the SAU found the Assessment should better identify the most likely counterfactual outcome for targeted sites, distinguishing delayed from permanently absent investment. It also asked OZEV to provide more evidence on additionality (whether the subsidy genuinely changes investment decisions) and to consider further design choices that could limit competition distortions, including impacts on non-MSA charge point operators and on-site competition between charge point operators. The report noted that some design features, including the size of the subsidy awarded and the reservation period for capacity (currently planned at between three and five years), remain unfinished, limiting the Assessment's ability to reach definitive conclusions on compliance with certain subsidy control principles.
Why this matters
The SAU report sits at the intersection of subsidy control law and energy infrastructure policy, two areas of rapidly growing legal significance since the Subsidy Control Act 2022 came into force. The scheme is one of the larger public subsidy programmes to pass through SAU scrutiny and the report's identification of additionality and competition distortion gaps signals the SAU is willing to push back on government schemes rather than rubber-stamp them. For OZEV, the report's non-binding status means it retains discretion to proceed, but departing from SAU recommendations on a Scheme of Particular Interest carries reputational and legal risk. The unresolved design features the SAU flags could also delay finalisation, with knock-on effects for the broader EV infrastructure rollout timeline.
On the Ground
Energy and infrastructure practices advising clients in the EV charging, motorway services, and energy network sectors will be tracking whether OZEV modifies the scheme's design in response to the SAU's recommendations before proceeding. Competition lawyers will monitor for any challenge to the scheme's subsidy control compliance once finalised. Regulatory counsel will advise MSA operators and charge point operators on participation rights and the second-comer charge mechanism under the Electricity (Connection Charges) Regulations 2017. A trainee on this matter would prepare summaries of the SAU's specific recommendations, draft comparison memos between OZEV's Assessment and the SAU's findings, and assist in coordinating responses to the regulatory filing timetable.
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