Choose electric now
It is no secret that the manufacture of petrol and diesel cars is coming to an end. Whilst there is no immediate need to panic, the Government has made clear its intention to bring forward a ban on the sale of new petrol, diesel, and hybrid cars in the UK to 2032.
Online searches for new and used electric cars increase
With the impending ban on the sale of new petrol, diesel, and hybrid cars advancing, it is not surprising there has been a rise in online searches for new and used electric cars. Over the past few months, we have certainly noticed an increased demand for used electric and hybrid cars, resulting in prices holding firm.
In the world of new cars, it is worth pointing out that most mainstream manufacturers have either introduced or have plans to rapidly introduce hybrid and electric models across their range. As technology develops and supply grows, it is widely acknowledged that the price gap between electric and fossil fuel engines will decrease in time. This cost of change, together with the lower lifetime costs of ownership, will play a big part in future decision making.
What do I need to know?
The UK car market is back in motion, so if you were planning to buy before lockdown, you can now move forward. However, before you do so we suggest you think about range, battery life, charging facilities, excise duty and probably most important of all, your regular journeys and driving habits, before handing over the cash and plugging in. To help your decision making, we have drawn up a short reference guide.
1 Vehicle excise duty on electric, plug-in and hybrid cars
Duty does vary between new and used and date of first registration.
Electric – Zero duty in year one and subsequent years
Hybrids/plug-ins – duty based on exhaust emissions, from £0 to around £125 for most Hybrids
– All of the above if they have a list price in excess of £40,000 at first registration pay a £310 additional rate for 5 years from the start of the second licence.
Read more: Vehicle Tax Duty rates
2 Government Plug-in Grants
In 2011 the Government set up the Plug-in Grant with the aim of encouraging more people to buy electric. This scheme is due to be re-addressed this year. The grant is a 75% contribution towards the cost of one charge point and its installation up to a maximum of £350 (including VAT) per household/per eligible vehicle for installations that take place on or after 1st April 2020.
Read more: Electric Vehicle Home Charging Scheme – Guidance for customers, March 2020
3 Battery life, range anxiety and charging
Battery technology is developing at an extremely fast pace It is therefore inevitable that a vehicle purchased today, could be obsolete within a short time, due in the most part to the range, charging times and battery life. However as more electric vehicles enter the used car marketplace, prices for older vehicles are now affordable and therefore can be justified as a real alternative, despite this evolving technology.
What is clear is that wear and tear is far less on electric cars than on a normal car due to the fact that there are fewer moving parts.
Another issue that comes up regularly is range anxiety. With charging points springing up in more petrol stations, supermarket car parks and public places around the country, the situation is improving quickly.
It is also worth remembering that small top-up charges can be especially useful and installing a wall-charging point at home is something you should also consider.
What are the running costs of an electric car?
It depends on the type of car you choose but normally using electricity over normal fuel is cheaper. When it comes to charging an electric car there is a definite saving compared to a petrol or diesel car. For example, 100 miles charge in an electric car will cost approximately £4, compared to around £15 for a petrol or diesel car covering the same distance.
These savings, together with reduced or free Congestion and ULEZ charges, can help you justify the cost and the long-term value of your new electric car.
We also get asked about depreciation in respect of electric cars. Used prices are currently holding up well, with older models such as BMW I3, Nissan Leaf, Renault Zoe offering excellent value for money.
As new models are introduced, Electric vehicles will become even better value, but currently the depreciation over a 5-year period is less than a comparable fossil fuel car.
The news on savings gets even better: for London drivers there is no congestion charge for electric cars.
Read more: Going electric: How everyone can benefit sooner
emotive car sourcing is here to help you in your search for an electric car. Give us a call on 07946 579553. We look forward to hearing from you.
