Electric cars could save owners up to £7,000, report finds

Motorists who opt for electric vehicles (EVs) instead of petrol-powered cars could save up to £7,000 over the next four years, according to a new report by New AutoMotive.

drivers can expect to save at least £3,000 over four years due to lower charging costs, cheaper maintenance, and tax exemptions. Those who drive more than the national average could see even greater savings.

The report compared the upfront costs and running expenses of seven popular EV models with their petrol counterparts across three purchasing scenarios: outright purchase, leasing through an employer, and personal contract purchase.

In 55% of the scenarios tested, the additional cost of an EV would be offset within two and a half years. In 30% of scenarios, the financial benefits would be immediate or realised within the first year.

The models analysed include the Peugeot e2008GT, which is £4,000 cheaper than its petrol version, and the Citroen eC4 MAX, which costs £2,500 less. The research also reveals that the average upfront cost of a new EV is only 12% higher than that of a petrol car, significantly lower than the commonly cited 50%, suggesting that price parity is within reach.

Ben Nelmes, CEO of New AutoMotive, commented: “Many motorists will only consider going electric when the cars cost the same or less than their petrol or diesel equivalents. Our report finds that the UK is on the cusp of this tipping point. Soon, buying an EV will no longer just be the environmentally responsible and financially savvy choice but a financial no-brainer, allowing consumers to start saving from day one.”

He added: “Reductions in the prices of electric cars are being driven by the UK’s world-leading Zero Emissions Vehicle mandate, which increasingly provides a lifeline for those who have to choose between an empty tank or an empty wallet.”

New AutoMotive works to increase the pace of the clean energy transition, focusing on road transport. Each month it releases the Global Electric Vehicle Tracker, Electric Car Count and Electric Van Count, detailing the UK's transition to electric.