Weighing up the costs and benefits of an electric vehicle
When buying a new or second-hand car there are lots of things to consider.
With 27 percent of households planning to spend £5,000 to £10,000 on their next car. And with 18 percent of households budgeting £10,000 to £15,000* on a car, it is a significant amount.
How much you want to spend, the age of the car, its make, size and how well it will retain its value. And its impact on the environment.
If you are considering whether to switch from a regular car to an electric vehicle, here’s some things you may want to consider.
*How much do Brits plan to spend on their next car?
Car value
All cars depreciate over time. How much the value falls depends on a wide range of factors. Such as the brand’s reputation, overall reliability, the cost of maintenance, service, mileage, and demand for the vehicle.
The Energy Trust found that after five years Electric Vehicles (EVs) fall in value slightly more than ICE (Internal Combustion Engine) cars. But this difference is offset by EV running costs. And after six years depreciation is the same for both EV and ICE cars.
For EVs there are some additional factors to consider, including:
- battery health: How long will the charge last, and if it’s suitable for your needs?
- charging infrastructure: Do you have access to a charger at home. Or will you need to use a charger away from home?
- rapid technologies: With technology being updated rapidly, will an older model become outdated quickly?
- government incentives and tax policies: Subsidies on new EVs can reduce the value of used ones. Changes can be made to tax exemptions or congestion exempt charges
What are the benefits of electric vehicles?
There are lots of benefits of using an electric vehicle instead of a petrol or diesel one:
EVs offer significantly lower running costs, costing 3 to 5 times less per mile and potentially saving drivers £600 to £1,500 annually on fuel, plus 50% less on maintenance due to fewer moving parts.
They are generally cheaper to charge than the cost of refuelling petrol or diesel vehicles, especially if you can charge your EV at home.
Up to 40% lower servicing and maintenance costs than petrol or diesel vehicles due to fewer mechanical components.
Currently, it costs £10 for the first year, compared with £110 to £1,000+ for hybrid, petrol, or diesel vehicles. The more exhaust pipe emissions produced, the more it will cost. After that, all vehicles will be charged a standard rate of £195 per year.
Electric vehicles have lower charges from clean air zones around the UK, including London’s ultra-low emission zone.
Free parking and use of bus lanes for electric vehicles in some towns and cities Learn more about this at: Electric vehicles: all you need to know - Energy Saving Trust.
Motability schemes
If you have a disability and qualify for the Motability scheme, then an EV vehicle could be an option for you.
For advice on the scheme, charging options and more see the related links of this page.
Find out what your charging options are for your first fully electric car on the Motability Scheme: Charging at home - Motability Scheme