Those who lease new electric car are “overcharged” by hundreds of pounds per month, according to new research.
Clean transportation group Transport & Environment says that companies don’t price their cars to reflect the high resale value of cars that are better for the environment (T&E).
Usually during the course of the contract, which is frequently three or four years, the monthly cost is calculated based on the anticipated depreciation of the car.
Yet, despite research revealing that leases for new battery electric vehicles are 51% more expensive than those for gasoline-powered vehicles, EVs do not depreciate as quickly as conventionally-fueled automobiles.
For instance, a gas Volkswagen Golf is available for £376 per month, whereas an electric VW ID.3 costs about £605.
According to the study, leasing businesses continue to view electric vehicles as “new and uncertain products,” which is an “outdated” mindset.
Ralph Palmer, director of T&E Electric Fleets, said: “Leasing businesses overcharge customers who want to switch to electric vehicles.
“When determining their monthly pricing, leasing companies are overly cautious.
“These prices correspond to the situation five years ago.
“They clearly make a lot of money with this pricing scheme, but consumers pay too much for going electric.
“More consumers would have access to new, reasonably priced EVs (electric vehicles) if leasing businesses’ prices reflected the realities of the market.”
Since new gasoline and diesel car sales will be prohibited in the UK starting in 2030, more people will be considering buying their first electric vehicle (EV) in the years to come.
A fifth of new car purchases are made through leasing companies such Lex Autolease, Arval, ALD, and Leaseplan.
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According to a report by the Energy and Climate Intelligence Unit released on Monday, the government’s policy towards electric vehicles puts drivers at danger of losing out on a total of £9 billion in savings by 2043 if they continue to use gasoline-powered vehicles.
According to a survey from last year, the cost of charging an EV at pay-as-you-go public charging stations increased by 42% in just four months.