Could an E-Bike Rebate Help London Meet Its Mode Share Goals?

Introduction

London has set ambitious mode share targets for walking, cycling, and transit, yet most of us still drive almost all of our trips. The City knows it needs to reduce reliance on private cars to cut congestion, emissions, and road costs. But how can we get there?

A new study from UBC’s REACT Lab looked at British Columbia’s e-bike rebate program and found that subsidies can meaningfully shift travel behavior. Could a program like this work in London? And what would be in it for drivers who currently make 99 percent of their trips by car?

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What the B.C. Study Found

Researchers followed participants in B.C.’s e-bike rebate program and tracked how their travel habits changed. The findings were impressive:

  • Participants increased e-bike use by about 40 km per week and reduced car travel by 17 km per week
  • 60 percent said they would not have bought an e-bike without the rebate
  • Emissions from travel dropped by 17 percent, while household travel costs fell by 12 percent
  • Physical activity increased by 13 percent
  • The rebate stimulated local business, with $6.5 million in subsidies driving $8.7 million in retailer revenue

Most participants still had access to a car, so the change was partial. But the evidence shows subsidies can unlock latent demand and nudge people toward healthier, more sustainable trips.

What London Can Learn

The parallels to London are clear. Many of our trips are short enough to be made by bike, especially with e-assist. Yet cost is a barrier for many households. An income-based rebate could make e-bikes accessible to people who would otherwise be left out.

There are also lessons on design. A London program could:

  • Start with a pilot project to test what works before scaling citywide
  • Prioritize equity by targeting low and middle-income households
  • Focus on neighbourhoods where short trips are common and bike networks already exist
  • Partner with employers to support commuter use
  • Pair subsidies with infrastructure improvements like protected lanes, secure parking, and winter maintenance

A rebate program will not move mode share targets on its own, but it can be a powerful complement to the investments London is already making in active transportation infrastructure.

Why Drivers Should Care

If you are one of the many Londoners who drives almost every trip, you might wonder why this matters to you. Here are the reasons:

  • Reduced congestion: fewer cars on the road mean quicker, more reliable trips for those who still drive
  • Lower city costs: less road wear, reduced parking demand, and cleaner air lower the burden on taxpayers
  • Healthier, safer communities: better walking and cycling environments benefit children, older adults, and pedestrians
  • Flexibility: even drivers can benefit from having an alternative mode for errands, gas price spikes, or when a car is unavailable
  • Local economy: supporting bike shops and related businesses keeps more money circulating in London

In other words, you do not have to trade in your car to benefit from a program like this. The payoff is citywide.

Risks and Realities

Of course, there are challenges. Subsidy programs require funding and administration. Uptake may be modest if infrastructure gaps remain. Winter weather will always limit year-round use. And without evaluation, we may not know if the benefits last beyond the first year.

That is why London should begin with a small-scale pilot. Test the program in one area, measure outcomes, and refine the model before scaling.

Conclusion

The UBC study shows that e-bike rebates work. They reduce car travel, cut emissions, improve health, and boost local businesses. For London, the lesson is not that subsidies are a silver bullet, but that they are a proven tool that can help us reach our mobility goals faster.

The City should explore a pilot program and invite community feedback on how it should be designed. Because even if you drive almost all your trips, you stand to gain from a healthier, more sustainable, and less congested London.

👉 What do you think? Should London consider e-bike rebates as part of its mobility strategy?

Reference: UBC study: https://news.ubc.ca/2025/09/bc-e-bike-rebates-benefits/