With global fuel prices on the rise and the cost of living crisis reducing disposable incomes, more of us are looking for cost effective alternatives to petrol and diesel-powered vehicles. The UK government has pledged to eliminate all conventional cars in favour of zero-emission electric vehicles (EVs) by the year 2030, but how accessible are EVs right now and when are they likely to become more affordable for everyday consumers?
Why are EVs so expensive at the moment? – Despite the fact that owning and running an EV could help you to make significant savings in the long run (both in fuel and tax costs), the initial cost of purchasing an electric car remains relatively high. Primarily, this price difference is down to supply chain issues and a relative lack of demand – as EVs become a necessity in the UK and demand grows, sticker prices are likely to drop. Other reasons for expensive sticker prices include the high price of electric battery technology and the fact that many EVs currently fall under a higher insurance bracket than their conventional counterparts.
When will EVs be cheaper? – As the 2030 fuel and petrol ban grows ever closer and demand surges amongst UK road users, it’s highly likely that there will be a marked reduction in the average initial purchase cost of EVs and hybrid cars. It’s been estimated that the price of an EV could match that of conventional motors as soon as 2025 or 2027, with EVs predicted to be ‘even cheaper’ than petrol and diesel cars as the 2030 deadline approaches.
What else to consider – Although drivers in the UK may have to wait a few more years for the initial cost of purchasing an EV to stabilise and decrease, there are already numerous financial advantages to EV ownership that are worth taking into account if you’re thinking of making the switch. The government have incentivised electric vehicle use with plug-in grants, tax breaks and EV charger grants for homes and workplaces, which means you could get financial assistance for going green as both a business or individual. And while initial purchasing costs may put off road users on a budget, you could make significant savings in your everyday auto expenses by leasing an electric vehicle or signing up with a community transport initiative or EV car club. Generally, EVs are also more cost-effective and simpler to maintain as they feature fewer moving parts, no engine and no oil system – this means that, if you do have to take your EV into the shop for repairs or servicing, you could be in for a significantly lower bill than you would have been for maintaining an internal combustion engine vehicle.