MG5 EV

Is Buying an Electric Car Becoming the Cheaper Option?

For a long time, many motorists have been hesitant of making the switch to an electric car because of the costs involved. This is an understandable concern as electric vehicles often cost more than regular vehicles, but you should find that they are becoming a cheaper option and will prove to be a smart financial move in the long term.

Costs Falling

In years gone by, the price tag of an electric car would make even someone on a decent salary think twice, but this is now changing. Research shows that electric vehicles will be cheaper than petrol by 2027 due to the decline in the cost of batteries along with the sharp increase in demand. This should encourage more motorists to make the switch, especially with the ban on the sale of new petrol and diesel cars being brought forward to 2030.

Cost of Insurance Falling

Another cost that has deterred many motorists from making the switch in the last few years has been the cost of insurance. Car insurance is always a major cost to cover, but for electric vehicles, it has been higher due to the technology used, meaning that repairs and replacements would be more expensive.

As established above, production costs are falling which will have an impact on the cost of insuring an electric car in the coming years. In fact, analysis of premiums in the first 3 months of 2021 found that electric cars were £45 cheaper to insure than petrol or diesel. Motorists should also look into GAP insurance to provide financial protection in the event of a write off.

Running Costs

In addition to being cheaper to both buy and insure, you will also find that electric cars are much cheaper to run and will help you to make big savings in the long term. Obviously, you do not have to pay for fuel which is a major cost and there is also no road tax on electric vehicles. This all means that every aspect of owning electric is more affordable, so now is the perfect time to make the switch.

Other Benefits

It is clear that it makes financial sense to make the switch to electric, but there are other benefits too. There are now many different types available in different categories, which means that it should not be too hard to find one that suits your needs. You will also find that the battery technology and charging infrastructure are both constantly improving, so range anxiety is no longer an issue and you will never be too far from a charging point no matter where you are.

Some motorists have been hesitant to make the switch because of the costs involved with an electric car, but as you can see it makes a lot more financial sense than a petrol and diesel car along with the obvious environmental benefits of switching.