Mid-size and compact electric vehicles (EVs) are now more affordable than petrol and diesel cars in the UK.

The findings Are in LeasePlan’s annual Car Cost Index. It analyses the full costs of owning and running a car. This includes fuel, depreciation, taxes, insurance and maintenance in 22 European countries including the UK.

In last year’s analysis, only mid-size EVs were more affordable.

Saving to be made

For a mid-size EV, such as the Volkswagen ID.4, the total cost of ownership (TCO) is £724 a month. This is £95 less than the TCO for an equivalent petrol model such as a Peugeot 508. For an equivalent diesel it is £37.

When it comes to compact EVs such as the Citroen e-C4, the TCO is £646 per month. Compared to petrol or diesel equivalents such as the VW Golf, it is £72 and £63 .

These cost savings are largely down to EVs having the lowest rate of fuel/energy costs. What’s more, EV drivers currently paying zero road tax until 2025, keeping the TCO low for drivers.

Moving on

“Drivers across the country should be considering their options for going electric,” says Alfonso Martinez, managing director of LeasePlan UK.

“Driving electric has never been more accessible, which midst a background of soaring fuel costs, will be especially encouraging for the UK public.

“The 2030 ban on the sale of new petrol and diesel vehicles and the expansion of Clean Air Zones across the country will continue to provide financial incentive for Britons to switch to EVs.”

Charging ahead

The automotive industry has made great progress in bringing electric driving costs down to their current level. However, the work doesn’t stop here according to Martinez. He is calling on the UK Government to prove its credentials as a world leader in the fight against climate change.

“The UK Government must prioritise investment in charging infrastructure,” he said. While there are positives to the governments policies, he believes there’s much more to be done. This is principally in “developing charging infrastructure and enabling financial incentives to encourage the switch to an EV”.

Key findings:

  • EVs are cost-competitive with petrol and diesel vehicles. The sub-compact, compact, mid-size standard and mid-size premium segments all benefit in the UK.
  • In the premium mid-size (D2) segment are fully cost competitive compared to internal combustion engine vehicles (ICEs) in 17 countries, including: Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, the Netherlands, Norway, Portugal, Slovakia, Spain, Sweden, Switzerland and the United Kingdom.
  • The compact (C1) EV segment is fully cost competitive compared to ICEs in 14 countries: Austria, Belgium, Denmark, Finland, France, Germany, Ireland, Italy, the Netherlands, Norway, Portugal, Sweden, Switzerland and the United Kingdom.
  • Average monthly costs of driving a car varies hugely across Europe, from €743 (£629) a month in Greece to €1,138 (£963) in Switzerland.
  • Relative to GDP, the total cost of ownership is highest for drivers in Switzerland and Portugal, and lowest for drivers in Denmark and Germany.
  • Poland is the cheapest place to drive a petrol car, while Greece is the cheapest place to drive a diesel car