Electric Vehicles in Business: An Investment in the Future or an Unnecessary Expense?

"The short answer is that, while the initial costs of switching to EVs may appear high, the long-term financial, reputational, and environmental benefits increasingly outweigh traditional fleet options. Companies adopting EVs gain a competitive advantage through reduced running costs, tax incentives, and a stronger sustainability profile. However, businesses must carefully evaluate maintenance factors, such as charging infrastructure and tire wear, before committing."

"According to a FleetNews 2025 report, the average running costs of an EV are £1,154 per year, compared to £2,316 for a comparable petrol car. That's nearly a 50% saving, driven by cheaper electricity, lower maintenance, and reduced taxes. Financial Benefits of EV Adoption Electric vehicles are often considered expensive due to their higher purchase price. However, businesses should assess the broader financial implications. Lower fuel costs, reduced maintenance, and government subsidies make EVs a practical long-term investment."

"According to AUTODOC experts, EVs require fewer mechanical repairs because they have fewer moving parts compared to internal combustion engine (ICE) vehicles. The absence of oil changes, exhaust system repairs, and reduced brake wear contribute to significant savings. Research across Europe also shows that in many segments, the Total Cost of Ownership (TCO) for EVs is becoming more competitive than ICE alternatives, particularly in mid-range and premium sectors. In the UK, the average monthly TCO for EVs is £615, one of the lowest in Europe."

Initial purchase prices for electric vehicles (EVs) are higher than for internal combustion engine (ICE) cars, but long-term financial advantages frequently offset that gap. EVs show lower running costs—around £1,154 per year versus £2,316 for petrol equivalents—driven by cheaper electricity, reduced maintenance, and lower taxes. Fewer moving parts reduce mechanical repairs, eliminating oil changes and many exhaust repairs while cutting brake wear. Research across Europe indicates Total Cost of Ownership (TCO) for EVs is increasingly competitive, especially in mid-range and premium segments, with the UK average monthly TCO about £615. Operational considerations include charging infrastructure and increased tire wear due to instant torque.

Read at Business Matters