The government’s decision this week to end subsidies worth £1,500 for buying electric cars has been criticized, with motorists suggesting it could prevent consumers from buying the green vehicles.
Instead, the transport ministry said funding would now be “redirected” towards public charging and supporting the purchase of electric vans, taxis and motorcycles.
However, it is hoped that motorists will still consider investing in purchasing an electric vehicle rather than a diesel or petrol car, especially as it becomes cheaper to own.
They are currently growing in popularity with more than one in six new cars on the road now being electric or hybrid.
For those who do have one, or are considering buying an electric car, it is most economical for those motorists to charge their car at home and install a charging point.
While energy prices have risen by the millions in recent times, there are still several EV-specific rates on the market that won’t cost the earth.
iwith the help of Go Compare, reveals the best.
What are EV-specific rates?
EV rates are specifically for owners of electric vehicles who want to be able to charge them at home.
These rates usually offer a lower rate per unit of electricity used overnight, similar to domestic Economy 7 rates, with the reason that car owners can charge overnight when they are less likely to be away from home, and therefore pay less to do so. to do, according to Uswitch.
It’s worth noting that most, if not all, of these electric car rates require you to have a smart meter so that the supplier can track your usage at different times of the day and charge you the correct amount (i.e. less for the lower night time hours).
If you don’t have or can’t have a smart meter, you probably won’t be able to take advantage of these electric vehicle charging rates.
The best EV deals available
Many of the best electric car energy rates are with the Big Six providers.
However, the best EV energy rate currently available is with Good Energy on the Green Driver 5 hour rate, which costs an average of £793.88 per year.
The off-peak hours are between midnight and 5 a.m.
This is closely followed by British Gas on its Electric Drivers Jun 2023 deal which costs an average of £864.96 a year, with its off-peak hours also between midnight and 5am.
E.ON Next and Shell Energy follow with annual costs of £971.81 and £990.99 respectively.
EDF Energy and Ovo Energy are two of the most expensive.
Customers of EDF’s GoElectric 35 May24 pay an average of £1,365.62 per year, while Ovo Energy customers with their Ovo Drive deal pay £1,698.45.
The figures are calculated on the basis of the average consumption of Ofgem for an E7 tariff of 4200 kWh (split 58 percent day and 42 percent night).
An E7 rate would apply to an EV rate as they often use E7 rates.
Ryan Fulthorpe, motoring spokesperson at GoCompare, said: “EVs are definitely the future, and there is now more choice than ever when it comes to purchasing an electric vehicle.
“The range of these vehicles is greater and there are more charging points, but there is still a long way to go when it comes to building the infrastructure needed to turn this fast-growing market segment into a market leader.
“While the news that the government has ended the plug-in car subsidy scheme is a setback, there are a number of other points to consider when considering buying an electric car.”
Mr Fulthorpe says that while the initial cost of EV cars is typically higher than their petrol and diesel equivalents, the lifetime costs are lower, especially if you take advantage of free charging points, for example at your workplace.
He added: “It’s critical that you take the time to consider your purchase. Electric vehicles vary widely when it comes to things like payload and range, so consider your lifestyle and driving habits before buying. For example, if you think about how often you have to make long journeys, you can determine what type of car you need.
“As with petrol and diesel cars, it also helps to compare the electric car insurance policies ahead of time as this is a major cost item that should be factored into your budget.”
Why were EV subsidies discontinued?
Ministers cut the plug-in car subsidy, which offered drivers up to £1,500 off the cost of a new electric vehicle, claiming it is no longer necessary to boost EV purchases.
The government said the money used would be better spent on tackling other “barriers” to electric vehicle ownership, such as expanding the number of public charging stations and supporting taxi and bus drivers to switch to electric models.
However, experts have argued that the move is not a good thing.
Alex Hasty, director of Compare the Market, said: “Drivers will be disappointed that the government has chosen to scrap the plug-in subsidy. This decision is worse for the environment and drivers’ wallets. Despite rising energy bills, our figures show that an electric vehicle is typically over £550 cheaper to drive per year compared to a petrol car.
“The high initial cost of buying an electric vehicle and installing a home charging station will deter many drivers from switching, especially when household budgets are under such pressure due to the cost of living crisis.
“Both electric and petrol car owners could help cut the cost of using their car by more than £100 a year by switching to a cheaper insurance policy before renewing.”