In 2023 electric cars continue to be a popular choice amongst UK drivers, with more than 850,000 fully electric vehicles on the road at the end of August 2023. More EV models and availability, greater awareness and the rising cost and uncertainty of petrol and diesel, mean there are now more electric cars on UK roads than at any other time.
While one of the biggest obstacles remains the cost of buying, affordable electric car leasing is another option. By seeking out the best electric car lease deals, you could have the freedom to drive a brand-new EV of your choice, without the large initial financial outlay.
In this article, we’ll be exploring:
- What’s driving the popularity of electric lease cars
- How EV leasing works
- Why you should choose a business electric car lease
- How to get a great deal from your car leasing company
- The widest range of electric cars, from the latest Citroen electric car to a BMW i3 lease
How does EV leasing work?
Electric car leasing works like car rental, except for a much longer period. You choose a car, agree on a monthly fee and mileage allowance, sign a contract and drive it usually for two, three or four years. At the end of the contract, you simply hand the car back.
Benefits of leasing an electric vehicle.
Perhaps you’ve made up your mind and an electric car is definitely right for you, but the high upfront purchase cost is unaffordable. Or maybe you like the idea of an EV, but you’d rather try before you buy. Electric car leasing could be for you. Here’s why:
Low upfront costs
Lease an electric car and you can take advantage of a lower upfront cost, typically equal to a few months of your monthly fee.
Fixed monthly costs
Budget your monthly outgoings and enjoy the predictability of fixed monthly costs.
Use an electric car for business and you’ll benefit from just 2% Benefit in Kind (BiK) rates until 2025, compared with up to 37% for some diesel cars.
100% ULEZ exempt
Electric cars produce zero emissions which is not only good for the environment, but good for your pocket too, since they are exempt from costly ULEZ and Clean Air Zone charges.
Lease an electric car and you won’t have to worry about maintenance, servicing or costly mechanical repair bills.
Rather than waiting months for a new car to be built to order, many brand-new lease cars are available from stock in a matter of days and weeks.
Getting the right deal from your electric car leasing company
There are a few things you need to consider when choosing an electric car lease. These include:
Which electric car is right for you?
Consider factors such as the size of the car, the range, and the features that are important to you.
How much are you comfortable paying?
Your monthly fee will be fixed and paid over the length of the contract. Think about your future circumstances, what you’re comfortable paying and make sure to compare different deals to get the best possible price.
What’s the mileage allowance?
This is the maximum number of miles you can drive each year. Try to over-estimate your mileage because you will be charged for each mile that exceeds your allowance.
How much deposit can you add?
In general, the bigger the deposit, the lower the monthly payments. So if you can add more upfront, you could afford a better model or simply enjoy lower monthly fees.
How long do you want the car?
A lease contract is usually two, three or four years. So think about how long you’d like to drive this car for.
Does your lease come with breakdown cover?
One of the big benefits of leasing should be hassle-free driving. You want a lease that covers servicing, maintenance and breakdown.
Does your lease company offer home charging?
Leasing an electric car is a little bit different and you have to consider how you’re going to charge it. ElectriX offer optional Indra home chargers to make things easy.
What optional extras can you get?
Lease cars often have an already high spec, but see what other extras you can add to your contract such as a sunroof or winter pack.
When will your car be available?
Many lease cars are available from stock, so can be picked up or delivered quickly. ElectriX and CBVC provide brand new electric cars in as little as 30 days.
Why choose a business electric car lease?
Switch to electric with business car leasing and you can plug-in to some amazing benefits.
- Generous savings on employers’ Class 1A National Insurance
- 50% back on VAT on vehicle payments and 100% VAT for maintenance (VAT registered companies only)
- 2% fixed driver Benefit in Kind (BiK) rates until 2025
- Small upfront costs from just one month in advance
- Lower running costs when compared to diesel or petrol equivalent
Plus, many larger companies are now offering EV Salary Sacrifice. Electric car salary sacrifice is a tax-efficient way to save up to 40% on brand-new electric cars. The lease fee is deducted at source from your gross salary, which means you pay less tax overall. As an added benefit, there are no upfront costs with this scheme to either employers or employees.
Navigating the electric car range.
As electric cars grow in popularity and as leasing makes driving one more affordable, there is now a wide range of options in the UK. So when you’re searching for the best deals on electric cars, it pays to know what you’re looking for. From the popular Citroen electric car models to luxury Lexus electric cars, family-friendly Jaguar i pace range to a BMW i3 lease.
At ElectriX, we partner with electric lease car specialists CBVC who offer a choice of over 100 models, from more than 30 manufacturers. Here is a quick guide to some of their most popular models – many available within just 30 days.