Life in the Fast Lane: Electric Cars Hit Price Parity with Petrol on Monthly Lease

Electric cars have hit a major tipping point in the UK: many models now cost the same as – or even less than – petrol cars on a monthly lease.

New data from Octopus Electric Vehicles shows the median monthly lease price for an EV is now £369, compared with £409 for the median petrol car listed on a popular comparison site.

That means drivers can now go electric and save upwards of £1,600 over the course of their lease on monthly payments, before considering dodging volatile petrol prices and benefiting from lower running costs.

For years, EVs were seen as the pricier option. But falling battery costs, more manufacturers entering the market, and a surge of new lower-cost electric models are rapidly changing the picture. What was once premium is quickly becoming mainstream, with many cars now being available for less than £300 a month.

Popular EVs Now Beating Petrol Rivals on Price

Model Monthly lease Petrol / Hybrid equivalent Monthly lease Total lease saving
Dacia Spring EV £199 Dacia Sandero £225 £1,248
Vauxhall Frontera EV £279 Vauxhall Frontera Hybrid £303 £1,152
Citroën ë-C3 £279 Citroën C3 £294 £720

 

And the savings don’t stop there. Drivers can typically save thousands over the course of a lease through cheaper charging, fewer moving parts and lower maintenance costs compared with petrol cars.

Octopus Electric Vehicles also bundles in added extras such as servicing, maintenance, repairs and a discounted home charger – helping customers lock in even more certainty over monthly motoring costs.

The UK EV market has matured fast. Greater competition, better supply chains and advances in battery technology have all helped bring prices down – while ranges have improved and charging has become easier than ever.

This comes as Autotrader data recently showed that new electric cars are now cheaper than petrol on average for the first time, including discounts and government grants.

Gurjeet Grewal, CEO of Octopus Electric Vehicles, said: “This is a real line-in-the-sand moment for drivers. For years, people assumed EVs were the expensive option – but the market has changed dramatically.

Today, many electric cars are cheaper to lease than petrol, diesel or hybrid alternatives. And when you add lower charging and maintenance costs, the savings become even clearer.

With petrol prices rising again, more drivers are looking for ways to cut costs and future-proof their finances. There’s never been a better time to make the switch.”

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