Electric & Hybrid Car Lease Deals

Take advantage of game changing technology and zero emissions with electric and hybrid power car leasing. The choice is simple for those who want to make a difference as you have access to government initiatives, manufacturer deals and cost effective motoring. Lease an electric car and say goodbye to petrol and diesel. Long gone will be the maintenance of complex mechanical components, a full electric motor gives the driver instant power like never before for far lower fuel costs. Thanks to the difference in electricity prices compared to rising fossil fuels like petrol or diesel, electric car leasing will mean you never need the pumps again. The alternative to full electric vehicles is the Hybrid, a combination of either petrol or diesel power and electric power cell. Hybrids save fuel, reduce emissions and can be driven without charging time. Hybrid car leasing is the middle ground between conventional driving and EVs.

Electric Car Leasing and Hybrid Car Leasing is the fastest-growing segment within the automotive world. This means that more and more people are looking at Electric and Hybrid car lease deals. There are 3 types of vehicles where electric power is used. These are:

Battery Electric Vehicle (BEV) – 100% Electric

This is a pure, battery-powered vehicle that has no other way of moving. These vehicles have the biggest savings utilising low electric rates. CO2 levels for these vehicles are 0g/km so are excellent options as company cars and have an average range of 250-300 miles on a full charge.

 

Plug-In Hybrid Electric Vehicle (PHEV)

These vehicles combine an electric motor with a petrol or diesel engine, but, unlike an HEV, these vehicle types require charging to get the best from them. This is typically done via a home or office charging point. PHEVs have good savings also as they also utilise plug-in electric charging, however, the batteries are smaller so have shorter range CO2 levels for these vehicles usually range from 40-80 g/km but only have a battery range of approx. 30 miles.

 

Hybrid Electric Vehicle (HEV)

These vehicles are powered by an internal combustion engine in combination with one or more electric motors that use energy stored in batteries. Most HEV’s make use of technology such as regenerative brakes which convert kinetic energy to electric energy, which is stored in the vehicle's battery. Out of the 3 options, HEV’s are the least cost-effective as there is no ability to lower running costs as they cannot be plugged in. CO2 levels for these vehicles are usually 120g/km+ and the battery is only used typically for speeds of under 20 mph.

 


A government grant is available to help you in the purchase or lease of a vehicle, however, the vehicle must conform to the following criteria:

  • CO2 emissions of less than 50g/km
  • Travel at least 70 miles without any emissions
  • RRP must be less than £35,000.00 including VAT

All grants available are included in your car leasing quote, where applicable. Please click here for further details.

Why should you choose an electric or hybrid car?

Electric or Hybrid cars normally cost more than a standard combustion engine vehicle i.e. Petrol or Diesel. The additional cost is attributed to the technology used for the battery and the operating system of the vehicle. However, the electric/hybrid car is much more environmentally friendly compared to the standard engine.

As the government has advised that there will be a ban on all new petrol or diesel vehicle sales from 2030. As the number of BEVs increase, the manufacturing/purchase costs will decrease as sales volumes climb. Some PHEV and Hybrid vehicles will be banned from 2035.

Sadly, the monthly cost of an electric/hybrid car lease will be higher than the standard engine. As the purchase price is higher, this will then have an adverse effect on the monthly cost.

See the example below:

Vehicle

Man List Price

CO2

RFL Year One

Average Lease Cost

Mercedes EQC 400 300KW AMG Line 80kWh 5dr Auto

55,766.67

0

0

707.84

Mercedes GLC 220d 4Matic AMG Line 5dr Auto

35,995.83

166 g/km

£555.00

591.06

Lease cost based on 3x35, 8,000 miles per annum, non maintained, and business contract hire. Prices exclude VAT

As you can see from the above, the list price of the electric version is much higher than its diesel equivalent. Please note that some electric vehicles have a higher residual value (resale Value) than diesel vehicles, so although the List Price is higher, the actual rentals are not as high as you would think.

The big savings for electric / hybrid vehicles, aside from obvious improved environmental impact, comes from fuel v’s electricity. You can calculate how much it costs for your vehicle to be charged by using the below: 

Energy Cost (pence per kWh) x Battery Size = Charging Cost

(The average price for electricity (June 2021) in the United Kingdom is 17p per kWh)

Typically, most BEV vehicles will only charge to a max of 80% as charging slows and the vehicle would normally stop charging to protect the battery.

Over the years, hybrid technology has changed immensely, for the better and the modern hybrid vehicle is very advanced. Hybrid means “something is made by combining two different elements”. In the case of vehicles, this is an electric motor combined with a combustion engine (petrol or diesel).

There are two types of hybrid vehicles – standard Hybrid and Plug-In Hybrid Vehicles (PHEV). A Standard Hybrid vehicle works by regenerating kinetic energy which is produced by the vehicle (normally while braking) and stores this energy in the vehicle's battery. PHEV uses the same process, but you have the option to plug your vehicle in to be charged.

Frequently Asked Questions

There are 3 places you can charge your vehicle:

Home Charging

If your car will be parked off the street, it makes sense to have an EV charging point installed. Most people’s cars are parked at home overnight and electricity costs are, in most cases, the cheapest. There is a government grant available to assist you with the cost of these charging points. Please check here to see what grants are available.

Note – grants are only applicable to BEV and PHEV vehicles with off street parking.

Typical home charging units are untethered (you provide the cable) and tethered (cable built into the charger)

To find an accredited home Charge Point Installer, please click here.

Workplace charging

With the UK government putting a ban on petrol/diesel vehicles by 2030 and more and more company car drivers taking advantage of the tax benefits of electric/hybrid vehicles, businesses are now expected to provide charge points in the workplace.

These charge points are usually of the fast or rapid charger type.

Costs to use these charging points are normally covered by your employer but please double check and don’t not assume

Workplace charging point installations are increasing as more and more people switch to the EV/Hybrid revolution.

As an employer, as there is a grant available for home charging, there is also one available for the workplace

Please click here to find out more.

Public Charging

There are a high number of different networks available to UK drivers and users, which equates to over 20,000 public charging points

Charges for these networks normally come in the form of Pay As You Go or a subscription service.

To find out more information regarding charging points and networks, please click here, or you can read our full guide: Electronic Car Charging Points.

Most manufacturers have a five to eight year warranty on their battery, however, the current prediction is that they would last some 10-20 years before they are required to be replaced.

Find out all of the benefits of electric cars by visiting out full guide on the topic: Benefits of Electric Cars.

The average cost for fuel for a combustion engine is 129.7p (petrol) and 132.1p (diesel) per litre. The average cost of electricity is 0.17p per kWh. To calculate the money saved, you will need to know the battery capacity of your electric vehicle. For example:

Vauxhall Corsa e Hatchback:

  • 50kW (battery capacity)  x 0.17p (electricity cost) x 80% max battery charge) = £6.80
  • Tank Capacity 44.9 litres or 9.9 gallon
  • Full tank cost 44.9 litres x 129.7per litre (petrol) = £58.29
  • Range for Electric vehicle: 170 miles
  • Range for combustion engine: 48.7mpg x 9.9 gallon = 482 miles

Therefore you require 2.83 more charges to match the combustion engine range of 482 miles. Even after this, there is a saving of £39.05 in favour of the electric vehicle. An average car will travel 10,000 miles per annum, meaning an annual saving of over £11,500.00.

There are a number of grants available from the UK government when considering purchasing / leasing an electric/hybrid vehicle. These grants are available in two forms:

Purchase Grant

This grant is currently £2,500.00 but you have to follow the below criteria to receive any support:

  • Vehicle CO2 emissions of less than 50g/km
  • Vehicle must travel at least 70 miles without any emissions
  • RRP must be less than £35,000.00 including VAT

Please see click here for more information

Charging Grant

This grant is available to contribute to the cost of installing a charging point at both your home or work. The grant is currently up to £350.00 for home charging (off-street parking) and £500.00 for workplace charging. Some restrictions do apply.

Please click here for home charging and here for workplace charging.

You might be surprised to learn that, even though the cost of an EV or Hybrid vehicle is more expensive than its combustion engine cousin, as EVs have fewer moving parts, they are cheaper to maintain. To further protect yourself from any costs associated with your EV/Hybrid vehicle, please ask your Leasing Consultant to tell you about a maintained contract. These contracts are there to cover most of the costs during the life of the vehicle whilst on a car leasing agreement.