Petrol drivers given £369 warning as EV costs rise
Thinking of ditching your petrol car for an electric vehicle (EV)? Now might be the perfect time, as new research reveals just how much you could save with an EV compared to a petrol-powered car. Here's the scoop on what this means for UK drivers and how it could influence your next car purchase.
Petrol vs. EV: The Cost Comparison
A recent study by Compare the Market has found that running an EV now costs about £369 less per year than a petrol vehicle. We're talking everything from insurance and fuel to road taxes and MOTs. The annual cost of keeping an EV on the road comes in at £1,351, compared to £1,720 for petrol cars. That's your daily expenses practically slashed!
Wondering why EVs are still winning wallet wars despite the rise in energy prices? For one, insurance premiums for EVs are on the decline. They've dropped by £176 year-on-year, providing another pocket-friendly reason to go electric. Plus, even though EV drivers now have to pay the same road tax as petrol car owners, driving a more sustainable vehicle still makes more financial sense.
What's the Buzz About the Government’s Electric Car Grant?
Here's the good news: the Government's new Electric Car Grant (ECG) is a game changer. Launched in August, this scheme allows you to save £1,500 on select new EVs. And if you're in the market for models like the Ford E-Tourneo Courier or Ford Puma Gen-E, your savings could be as high as £3,750!
This news couldn't come at a better time, as EVs are becoming incredibly popular. They made up 26.5% of all new cars registered in August 2025 - a jump from last year's 22.6%. And with even more incentives to go green, this trend is showing no signs of slowing down.
Should You Buy Now or Wait?
So, what does all this mean for those of us here in Greater Manchester and beyond? If you're contemplating making the switch to an EV, now might be the best moment. As insurance rates for EVs decrease and grant schemes offer hefty savings, it could be the perfect time to act. Besides, with The Car Co's flexible finance options starting at 8.9% APR, you could find making the switch even more accessible.
But what about the uplift in energy prices, you ask? Despite a slight increase in the cost to power your EV, these vehicles continue to remain the more economical option. Even though energy prices have nudged the cost slightly upward, owning an EV is still easier on your purse strings than sticking with petrol.
Thinking Electric? Let's Chat!
There's never been a better moment to consider an electric vehicle. At The Car Co, we offer a diverse range of EVs alongside traditional models, ensuring there's something for everyone regardless of budget or preference. If the idea of going electric intrigues you, why not pay us a visit? We're here to help you find the perfect match and make sense of your finance options.
Switching to an electric vehicle could be your smartest move yet in 2025. With great savings and growing popularity, it's clear why EVs are stealing the spotlight. Ready to take the plunge? Come speak to us about your options.