Research

Drivers can cut yearly running costs by 70% if they switch to an EV

posted on 24/08/2022
Electric vehicle drivers

Electric vehicles can cost around a quarter of the price to run as petrol and diesel cars, according to one of the UK’s leading car finance companies.

Volkswagen Financial Services UK (VWFS) has released data from its online EV-4-Me quiz, designed for consumers to discover how an EV would fit into their lifestyle, which shows that drivers can expect average annual running costs of £722* when behind the wheel of an electric vehicle.

This is a whopping £1,933 cheaper than a comparable petrol car (£2,655 annual cost) and a substantial £1,636 less expensive than a diesel car (£2,358 annual cost).

These yearly running costs incorporate fuel, servicing and Vehicle Excise Duty and equate to monthly savings of £160 and £136 for petrol and diesel drivers respectively.

These insights are particularly pertinent when we consider that average petrol prices are at 176.88p per litre, while diesel currently costs 187.42p per litre**.

Research from the Volkswagen Financial Services UK insights team found that affordability remains the top issue for would-be EV drivers, with 38% saying they cannot afford an EV, although 72% would make the switch if money wasn’t an issue***.

When looking solely at fuel costs, data from VWFS | Fleet’s fuel cost comparator illustrates that EV drivers using a home (7kW) charger can save £804 in annual fuel costs versus driving a petrol car, and £671 in savings compared with driving a diesel. These figures are based on driving 10,000 miles annually in a CUPRA Born^.

This tool allows drivers to see how much an electric vehicle can save them in fuel, for example on a single journey, per year or for contracted mileage. It also provides different options for the cost of EV charging, so people can see the typical difference in cost between home, public AC, rapid and ultra-rapid charging options.

Many people also worry about how far an electric car can go on one charge and whether this will suit their driving habits, but EVs are far more capable than people realise.

For example, the all-electric Volkswagen ID.3 can travel up to 340 miles on a single charge, which is in line with WLTP (combined) data. This is despite 75% of people expecting an electric vehicle to travel up to 300 miles on a single charge***.

Experiencing an EV
For drivers who are serious about driving an electric car, Volkswagen Financial Services UK now has two new avenues that people can pursue to experience driving an EV.

Firstly, motorists can get behind the wheel of an EV via the ‘try before you buy’ scheme from VWFS Rent-a-Car, which allows customers to test drive an electric Volkswagen ID.3 for up to seven days.

For more information, visit https://www.vwfsrentacar.co.uk/try-before-you-buy

Secondly, Volkswagen Financial Services UK recently launched a pilot subscription service for the arrival of the award-winning, all-electric CUPRA Born in the UK.

The service enables customers to take cars on a three-month subscription and is reflective of the automotive sector moving towards more flexible and convenient mobility solutions.

Find out more here: https://www.cupraofficial.co.uk/cupra-finance/overview/subscription
To try the EV-4-Me quiz, visit https://customer.vwfs.co.uk/electric-cars/lifestyle.html

Mike Todd, CEO at Volkswagen Financial Services UK, said: “The case for making the switch to electric is getting stronger all the time and some of the anxieties that drivers may have around cost, range and charging are proving to be less of an issue as EV technology continues to evolve at pace. Manufacturers and retailers have a greater duty than ever before to help educate consumers that the overall cost of an EV is not as big a barrier as once perceived, and in fact can be cheaper than most comparable petrol or diesel models.

“Naturally, the cost of living crisis has tightened many people’s budgets, so our role as a finance provider is to help consumers with these affordability issues, which is why we continue to develop propositions to assist customers make the transition to electric cars. Practical tools like our EV-4-Me quiz are great ways of showcasing the savings that can be made by embracing greener and sustainable travel.”

*Article Source https://customer.vwfs.co.uk/

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