Electric vehicles are cheaper to own and run compared with combustion-engined equivalents, according to new research.
Over the lifetime of a vehicle, an electric car works out at around £107 cheaper per year compared with a standard petrol or diesel car, data from Direct Line has found.
Purchasing an electric vehicle in 2020 and running it over its lifetime would cost £52,133 compared with £53,625 for an equivalent petrol model.
The insurance company put the anticipated lifetime of a vehicle at around 13.9 years, with any car bought today likely needing to be replaced by the end of 2034 – just prior to the ban on petrol, diesel and hybrid cars coming into play.
Though electric cars command a higher price tag – despite the government’s electric car grant – the costs of running one are significantly lower than those associated with a petrol or diesel vehicle. In fact, Direct Line found that the average annual running cost for an electric car is £1,742, which is 21 per cent cheaper than the £2,205 yearly costs required to keep a petrol vehicle going.
Annual tax and maintenance are 49 per cent lower on EVs than petrol models, yet insurance costs are 25 per cent more on average due to the current costs and complexities associated with production.
Neil Ingram, head of motor product at Direct Line, commented: “It is an exciting time for electric vehicles, with a record number of these licenced cars on Britain’s roads last year. Our analysis also shows that with the ban on new non-electric cars set to come into force in less than 15 years’ time, Britons could already be saving money by switching from a traditional petrol or diesel car to an equivalent electric model.
“We expect prices to come down in future, thanks partly to the Government’s commitment to making greener vehicles more accessible but also to advances in technology ensuring that purchasing, refuelling, maintaining and insuring an electric car becomes easier, cheaper and better for the environment.”