With the ban on Diesel and Petrol car sales by the Government from 2030, more and more businesses and consumers are looking at alternatives. One of the most advancing fuel types in the marketplace is electric. This guide will take a look at Electric Car Leasing and the benefits. We will also cover short-term soultions such as electric car subscriptions and short-term leases.
What is an electric car?
An electric can is a battery powered vehicle that sends powers to electric motors on the wheels or driveshaft. Otherwise known as Battery Electric Vehicles (BEV) the development of this type of vehicle has been amazing over the years.
Early electric cars suffered from low range and lack of infrastructure to charge, this has all changed over the years and as technology moves on.
With government incentives more charging points have been installed across the UK and with manufacturers such as Tesla also opening their superchargers up to more manufacturers, the option of driving from North to South in an electric car, has never been easier.
What is Green Car Leasing?
To put it in the simplest of terms, green car leasing is to ‘lease an electric car’ – As electric cars emit no CO2’s when driving, it is currently the greenest way to drive a modern vehicle.
By leasing an electric car, it gives you the ability to change your car every 2/3 years, keeping up with technology as you swap and change. Your previous vehicle will drop into the used car sales network for someone else to take advantage of a ‘used electric car’
What is range anxiety?
One of the main concerns of drivers looking at making the change from an Internal Combustion Engine (ICE) to a BEV is the range of the vehicle.
The range is the miles that the car can travel in one single charge.
Most petrol cars nowadays can do 400-500 miles on a tank of fuel, Diesel even further but it only takes a couple of minutes to fill up the car from empty at a forecourt.
With electric cars, the average is currently 200 miles, but more manufacturers are busting through the 400 mile line. With more and more chargers available, it has never been easier to use an electric car as a daily mile buster.
Don’t forget that you can effectively reset your car each night by having a home charger fitted. So whenever you leave the house, the car is always full. It is like having your own petrol pump at home.
How do I charge the car?
If you read the press, electric cars are getting some bad press. And although there aren’t as many charging stations across the UK than petrol stations, this will improve over time.
One of the biggest areas that electric car owners have as an advantage is that charging at home overnight, will provide your car with a full battery ready for your commute in the morning. If you are going on a long route, then you may have to factor in charging en route. But with apps like Zap-Map, it really is quite easy.
There are 3 effective ways of charging your car:
3-Pin Plug Slow Charging
This is a cable that plugs into your electric car and a standard domestic 3-pin plug. It is a slow charge, but may be enough to charge your car overnight ready for the school run and commute in the morning.
Home Fast Charger
These are professionally installed chargers that can offer quicker topping up depending on your electricity supply at your home. Most are 7kW chargers and can top your car up in several hours ready for a long-run.
Public Charging Stations
The ever expanding sites that are popping up in the UK will make a huge difference to those runngin electric cars. These are usually available at service areas on motorways, petrol stations, supermarkets and shopping centres. Some companies are even creating charging stations that look just like service areas. Depending on the power output, many can top a car from 0% to 75% in 30 to 45 minutes. Enough time to grab a coffee and a sandwich.
How much does it cost to charge an electric car?
It is well known that electric cars are generally cheaper to run than internal combustion engine (ICE) vehicles but with ever rising energy costs, will they reach parity?
At the moment depending on your charging routine, a Tesla Model 3 Long Range currently costs a team member £2.60 overnight and allows 250 miles of driving (Correct as of 18th July 2023).
Using public charging facilities is much higher due to the convenience and development costs of installing and maintaining these facilities. Even then, they should still work out cheaper than the equivalent petrol and diesel car.
Before you decide to lease or subscribe to an electric car, use databases such as EV Database UK and work out your energy tariffs with companies who love EV’s such as Octopus Energy.
Pros of leasing an electric vehicle
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Low Maintenance Costs – With an electric vehicle you dump the complexities of an engine so no regular oil or filter changes. Brake regen means that the brake discs and pads don’t get used as much. Some EV’s will tell you when it needs attnetion without a manufacturers service schedule. -
Fuel Savings – As we’ve already touched on, an EV can be cheaper to run than an ICE vehicle. Especially if you opt for an EV friendly energy tariff or you can charge for free at work. -
Low Company Car Tax – If you are taking the car through a business and you pay company car tax, be prepared for the massive savings due to incentives by HMRC on electric company vehicles. -
Depreciation – No one really knows what an electric car will lose over the 2/3 years and with recent drops in residuals, leasing and subscriptions will protect you against this. -
Latest Technology – Many of the latest electric vehicles offer over-the-air software updates, depending on the manufacturer this can bring you the latest features, range increases and even games in some cars.
Cons of leasing an electric vehicle
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Range Anxiety – Depending on the make/model range needs to be factored in to your commutes and long trips. Opt for the wrong battery size and you’ll regret it. -
Recharge Times – Recharging on-the-go can be time consuming. Whereas a petrol/diesel car will take 5 minutes to fill, an electric car could take between 30 and 45 minutes. -
Higher Costs – When compared to leasing ICE cars, electric cars can be higher per month but fuel savings do need to be factored in.
Types of Electric Cars
Battery Electric Vehicles (BEV) are the main types of electric cars, but there are also Hybrid Electric Vehicles (HEV) and Plug-in Hybrid Electric Vehicles (PHEV) to consider if you don’t want to make the jump to fully electric.
We go into detail about the types of electric and hyrbid cars on the highlighted link.
Try before you buy
Our electric car subscriptions and short-term car leases allow you to try a vehicle before you fully commit to a traditional car lease or PCP. You can see how the vehicle integrates with your daily routines, commutes and even holidays.
Whilst the inital monthly cost might seem higher than a car lease, it is much cheaper to use a short-term solution than splash out on a vehicle that doesn’t fit your personal circumstances. Use the highlighted links above to find out more.
Lease an electric car with Cocoon
We are able to quote on most electric lease cars in the marketplace and with our Find a Car Lease service, we do all of the hard work for you by looking at deals across multiple funders.
If you need any help or advice on electric cars, our geeks in the office can answer your questions and provide advice based on your business or personal circumstances.
We can provide personal car lease quotes or business car lease pricing.
Speak to the team on 01332 290173 or use the ENQUIRY FORM at the bottom of this guide.
