Get a new EV on finance

Fed up with filling a car with petrol or diesel? Fancy all the eco, tax and convenience benefits that an electric car will bring you? You aren’t alone in wanting to switch to an EV, as many are making the change to battery power, with running costs one of many reasons for the move. 

If you look at the cash purchase price alone then electric vehicles are still generally more expensive than their equivalent petrol or diesel version, but there are ways to make them more affordable. You could take a look at electric used cars for sale. As more new EVs are bought, more will make their way to the used market.

However, if you want to go brand new, then paying monthly can bring a wide range of cars into consideration, as manufacturers are finding ways to bring the monthly prices into the same ballpark as their petrol equivalents. Spreading the higher costs over a longer period lessens the impact versus handing over a lump sum.

There are a couple of different ways to buy an electric car on finance, with leasing (also called Personal Contract Hire or PCH) and Personal Contract Purchase (PCP) as the two main methods. Leasing is the simpler of the two, as it is a bit like renting a house – you put down a deposit, and pay a set amount each month but you never own it outright, instead handing it back at the end of the contract.

A PCP contract starts the same, with a deposit and set monthly payments but at the end of the term you can either hand the car back or pay off the rest of what is owed and keep it.

Both are common among buyers, with PCP shading it slightly in the popularity stakes. Below are a selection of cars you can get for under £300 a month, and all with reasonable deposits.

Mazda MX30 – PCP

Range: 124-164 miles

The MX-30 is the very first electric car that Mazda made, and it made a statement with it. The rear passenger doors have their hinges at the back, and there is no pillar between them and the front of the cabin – funky to say the least. It’s also practical, though, as you get a nice big opening to be able to get passengers and parcels in through.

You don’t get the biggest range compared to some EVs, with a 35.5kWh battery providing around 120 miles of range. However, you can recharge it from 20-80% in just 36 minutes on a 50kW public charger.

MG ZS EV – PCP

Range: 198 miles

MGs will crop up a few times in this list, and this ZS is a medium-sized SUV – a class of car that is justifiably popular with families. It has a load of room in the cabin and in the boot. 

There are some compromises to get into a spacious SUV for a budget of £300 a month, though. You only get the smaller of the ZS’s two batteries, for example, although this still gives you a range of just under 200 miles.

The other downsides are the slightly cheap-feeling interior finish and the fact that rivals are better to drive. This doesn’t detract from the value, though.

Peugeot e-208 – PCP

Range: 209 miles

There aren’t many compromises on the Peugeot e-208 as it is practical and has plenty of kit, including 16-inch wheels, LED headlights, rear parking sensors and a standard-fit seven-inch infotainment system.

The 136hp electric motor makes for a peppy driving experience and the 50kWh battery has enough power to keep you going for a range of more than 200 miles.

MG 4 – Lease

Range: 200-281 miles

The MG 4 is a smart hatchback with some funky styling inside and out and a range of bright and eye-catching colours. It’s designed to take on the VW ID.3 but does so at a cheaper price.

MG might be better known for making good value cars, but the 4 shows that it can make ones you might want for non-financial reasons too.

MG 5 – Lease 

Range: 250 miles

The MG 5 is one of the cheaper electric cars that you can lease, undercutting much smaller models. The interior isn’t as smart as some of its rivals, but with so much space and a 250-mile range you might find it easy to overlook all that.

Volkswagen ID.3 – Lease

Range: 254-338 miles

VW set out to build a pure electric car when it made the ID.3 – you won’t find a version with a petrol or a diesel engine in this vehicle’s range.

It’s got some slightly funky features – the lack of gear lever and the fact that you control pretty much everything through the touchscreen for example – and it has a long range and fast charging which means you can spend more time on the move.