Are electric cars cheaper to run than petrol vehicles?

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Are electric vehicles cheaper to run than petrol cars? Discover the answers here, including estimated cost per mile and factors affecting operating expenses.

Several years ago, electric vehicle manufacturers promoted the idea that their vehicles were cheaper to run than petrol-consuming alternatives. But given the changes of the past few years, is that still the case?

This exploratory piece is here to find out. It explores whether electric cars are cheaper now and the various factors affecting operating costs.

Cost Comparison: Petrol vs Electric

Manufacturers use “cost per mile” to judge the running costs of electric and petrol vehicles. This figure includes all the factors that go into running each vehicle, from fuel (or electric charge) to wear and tear, maintenance costs, and depreciation.
Estimates suggest EVs are two to five times cheaper than running an equivalent petrol vehicle.
 For example, the electric VW ID.3 costs 7.8p per mile, while the Ford Focus is 14.5p per mile, around double the cost!
However, the upfront cost for an electric car is significantly higher. The average petrol vehicle isaround £21,900, while the average electric car is £48,000 to £50,000. Recouping this expenditure requires driving over 100,000 miles over the life of the electric vehicle.

Factors Affecting Operating Costs

Several factors affect the cost of running electric vehicles compared to petrol alternatives. These include:
●    The energy cost. Charging a Nissan Leaf to go 100 miles costs around £3.50 to £4 in the UK (using off-peak £0.10/kWh) tariff, while a 40 MPG petrol vehicle costs £8.80 to £9.40 for the same distance (when fuel is £1.40/litre)
●    The maintenance cost. EVS have significantly lower maintenance costs because they don’t have exhausts, conventional engines or gearboxes. As such, typical maintenance fees are approximately £400 to £500 per year, whereas regular petrol vehicles are £500 to £700.
●    Battery replacement. Petrol vehicles do not require battery replacement, but some EVS do at the 100,000-mile mark, costing between £5,000 and £15,000.

Government Incentives Impact

Government incentives had a small impact in the past. Before April 2025, EVs were exempt from Vehicle Excise Duty (VED). However, they now pay a flat rate of £180 per year. Minor local incentives like free parking or congestion charge exemptions still apply in some cities, but there is currently a lack of incentives from the government to make the switch to electric.

Charging at Home vs Public Stations

The costs of charging at home are generally lower than using a public charging station. Home EV charging costs £3 per 105 miles, according to some estimates, while slow/fast public EV charging is £16.50 and rapid public EV charging is £23.70 for the same distance.
So, are electric cars cheaper to run?

Switching to an electric vehicle isn’t just a smart choice for the environment, it’s also easier on your wallet in the long run. From low charging costs to reduced maintenance expenses, EVs offer significant savings compared to traditional petrol cars.

If you’re ready to enjoy a cleaner, more cost-effective drive, explore our EV range today and find the perfect match for your lifestyle.

Enjoyed this? Read more from Swansway Motor Group

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