Government car fleets are to be provided with £5m funding to introduce plug-in cars and vans, transport minister Baroness Kramer has announced.

The programme will allow every central government fleet to review its arrangements and consider how greener vehicles can be used. Over 150 plug-in vehicles will be added to government fleets in the first wave of the scheme.

The Government Car Service, which provides cars for ministers, will be one of the first to take advantage, with its review already underway and plans to order the first electric cars in the autumn.

Chief Secretary to the Treasury, Danny Alexander, said: "I am delighted the Government Car Service is leading the move to electric vehicles and I will be one of the first in line to use one. This is the right thing to do, with much lower running costs and close to zero emissions, these vehicles will save the taxpayer money and be much greener."

"We are also investing significantly in ultra-low emission vehicles which will help ensure they play an important role in the UK economy as well as the environment."

Baroness Kramer said: "Government must lead by example. Today’s investment will see government switching a significant number of plug-in cars and vans into our fleets and leading the electric charge."

The scheme will be expanded in the autumn to allow the wider public sector including councils, police forces and the NHS, to introduce more plug-in vehicles. This is expected to add approximately a further 135 plug-in vehicles to these fleets.

In both phases, chargepoints will also be installed to provide infrastructure support for the new cars and vans.

Cars and vans will be recommended on a like-for-like basis and the reviews will consider the whole life cost of the vehicles to ensure that each replacement makes economic sense

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