Electric cars: could leasing a used EV help you afford one?

"When Anthony Santos was looking for a car to replace his Audi Q3, a diesel SUV, he felt reluctant about making the switch to an electric car. I was considering it, but I probably wouldn't have, says Santos, a sales manager at RWinvest, a property investment company in Liverpool. But when he started looking at his options the ability to lease a used electric vehicle (EV) caught his eye."

"Anthony Santos with his Mercedes EQA, which he leases for 360 a month instead of the usual 570 via a salary sacrifice scheme. There are now 1m EVs on British roads, and the cars bought by early adopters are hitting the secondhand market. Generally speaking EVs have lost value more quickly than petrol or diesel cars, which is a big problem for the owners of leasing companies, rental businesses or corporate fleets."

"In the second quarter of 2025, the number of used car leases in the UK rose by 166%, compared with the same period a year ago, with electric cars driving the growth, according to the latest data available from the British Vehicle Rental and Leasing Association (BVRLA), a lobby group. Three years ago used EV leasing was very small because there were very few used EVs on the market, says Thom Groot, the chief executive of the Electric Car Scheme, a broker. From about 15% of sales in 2024, used EVs now make up nearly half its business. At Octopus EV, which is part of the UK's largest energy supplier, the number of used EV leases has doubled in the last year."

Used electric vehicles are increasingly available in the UK as early adopters' cars enter the secondhand market and total EV numbers exceed one million. Faster depreciation of EVs has pressured leasing, rental and corporate fleets, but it has opened up lower-cost leasing deals for consumers. Used EV leasing volumes rose sharply, with a 166% year-on-year increase in Q2 2025 and brokers reporting used EVs growing from about 15% to nearly half of sales. Major leasing firms and energy-company-backed brokers have begun offering used EV leases, expanding consumer access to affordable electric cars.

Read at www.theguardian.com