Used electric cars now cheaper than petrol or diesel alternatives
The average price of a used electric car is now cheaper than an equivalent petrol or diesel, according to the UK’s leading valuation experts.
Data from HPI shows that a secondhand EV is 8.5% cheaper than an ICE alternative at three years old. The gap rises to 14% at four years old.
The figures also show that the average value of a used EV at the same age and mileage has halved since September 2022 as the market has grown and prices have settled. According to HPI’s experts buyers can now secure a Jaguar I-Pace, Mercedes EQC or Tesla Model X, for well over £20,000 less than in the summer of 2022, and save up to £40,000 on a Porsche Taycan. At the more mainstream end of the scale, relatively new examples of the Nissan Leaf are now available for under £10,000.
Recent years have seen huge volatility in used EV prices, caused by uneven supply and demand. However, as more and more electric vehicles enter the secondhand market and dealers develop a better understanding of EVs, prices appear to be calming.
Recent figures show the used EV market has almost doubled in size in the last year and prices have dropped as buyers enjoy far greater scope to shop around for the best deal. According to HPI’s analysis more than 41,500 used all-electric cars were sold in the first quarter of 2024 – a 71% increase over the same period last year.
Chris Plumb, EV specialist at HPI, said: “The growing availability of second-hand electric models is driving demand as motorists want to reduce their environmental footprint and make significant motoring cost savings due to high diesel and petrol prices.”
Read more: The 10 best used electric cars of 2024
For many drivers, the switch from ICE to EV is a straightforward swap but Chris advised buyers to consider matters such as charging when buying their first used EV.
He commented: “The fundamental consideration is can the vehicle be charged. If charging the car at home or nearby then EV ownership is possible. Homeowners with off-street parking will almost certainly fall into this category because there is nothing to prevent them from installing a domestic charge point and topping up the battery overnight. It’s also the cheapest way to charge an EV.
“If on-street, public charge points are close by or at work, then there is still every chance an EV will suit. If home, street or work-based charging are not readily available, then an EV may not be a realistic choice just yet.”
With a home wallbox costing between £500 and £1,500, it’s worth factoring that cost into any purchase and checking out the best home chargers.
It is also worth seeing if you are eligible to buy your secondhand EV via a workplace salary sacrifice scheme, which brings tax savings and can sometimes include wallbox installation as an added incentive.
And, as with any secondhand car, it’s worth think about a vehicle history check to ensure the car you’re considering isn’t hiding any unpleasant surprises.
