How to afford an EV

By Adele Barry
15-10-2021
Afford an electric car with our money saving tips

The number one reason people say they’re not switching to an electric vehicle (EV) yet is the cost of them.

Yes, the issue of charging does crop up but as the number of charging stations continues to increase the issue of price remains.

With the government introducing a ban on diesel and petrol cars from 2030 manufacturers need to address the issue.

However, there are ways to make electric cars more affordable. There are grants, employee schemes, and lease deals. All bringing the cost of a new EV down.

We look at some of the ways you can make the switch to electric without breaking the bank.

GRANTS

Low emission vehicles are eligible for a government ‘plug in’ grant. It works by offering consumers a discount on the price of new low-emission vehicles.

The government pays the grant to vehicle dealerships and manufacturers, so you don’t need to do anything.

The maximum grant available for cars is £2,500. But not all cars are eligible. There’s a link at the end of this blog to show which vehicles are included in the scheme.

Vehicles must have CO2 emissions of less than 50g/km and be able to travel at least 112km (70 miles) without producing any emissions. Cars must also cost less than £35,000.

VEHICLE CHARGING GRANT

There are also grants to help towards the cost of installing an electric charging point. EV owners can get up to £350 off the cost of installing a charger at home through the Electric Vehicle Homecharge Scheme.

SALARY SACRIFICE SCHEME

Some companies run EV schemes for their employees so it’s worth checking if your employer has a scheme in place.

They work like the Cycle to Work Scheme and can save up to 40% off the cost of an electric car.

Your employer will take money each month from your gross salary with savings added from your tax and national insurance. You will pay company car tax, but this is super low on EVs and the savings generated by the scheme can amount to a huge reduction in the monthly price.

LOW EMISSION ZONES

Many major cities now have low emission zones. This means you have to pay to enter the city if your vehicle produces emissions which are higher than a set amount.

Electric vehicles are exempt from this charge along with the congestion charge in London.

LEASE AN EV

Leasing an EV is a fantastic way to drive a brand-new electric or hybrid car or van with fixed monthly payments.

Whether you opt for Personal Contract Hire (PCH) or Personal Contract Purchase (PCP) you will receive a brand-new vehicle.

As you agree to a fixed contract you will have manufacturer warranty for at least three years of your contract. Most leases run on a three- or four-year contract.

See the latest lease offers on EVs HERE: https://www.v4b.co.uk/Green-Leasing.html

USEFUL LINKS

https://www.gov.uk/plug-in-car-van-grants

https://www.gov.uk/government/collections/government-grants-for-low-emission-vehicles#electric-vehicle-homecharge-scheme