Used EV sales up 300% as availability spikes, reports The Electric Car Scheme

The Electric Car Scheme reveals significant increase in demand for second hand electric cars, up 300% in the last year
Lower prices and massive increase in availability for used EVs drives demand
Price remains the biggest barrier to EV uptake with 54% of Brits singling out affordability

NEW data from EV salary sacrifice provider and Broker News award winner The Electric Car Scheme indicates that used EVs have seen a massive increase in demand through salary sacrifice, as drivers take advantage of falling costs and an ability to jump ahead of long waiting times to make the jump to electric.

Orders of used EVs through salary sacrifice have increased by 300% over the past year at The Electric Car Scheme, making up roughly half of all orders. This has coincided with a significant increase in availability, with over 500 used EVs now available through salary sacrifice through the scheme, an increase of over 200% in the last month alone.

Figures from the SMMT indicate that battery electric vehicles are the fastest growing category of used vehicles increasing 58.5% year on year, but their popularity has been boosted by further savings available through salary sacrifice, with savings of up to 50% on top of lower prices (see examples below).

The biggest impact is being felt by those on comparatively lower incomes, with 70% of the cars ordered by those in the basic rate tax bracket (those earning up to £50,270 pa) being used cars. This speaks to the increase in accessibility that used models provide, as well as supporting data from The Electric Car Scheme which indicates that price is the biggest barrier to getting an EV for 54% of Brits.

The impact of used EV salary sacrifice

To demonstrate the power of used EV salary sacrifice for improving affordability, The Electric Car Scheme has analysed the difference in cost between three popular models of EVs based on an employee earning £40,000 a year.

For the Skoda Enyaq (main picture), which on a standard lease for a new model costs around £567 a month, falls to £292 a month for a used model on salary sacrifice. This represents a saving of 49%.
The Volkswagen ID.4 similarly falls from £506 to £296 a month, a fall of 42%, while the Mercedes EQA sees a saving of 36%, falling from around £528 to £339.

The Electric Car Scheme CEO and Co-Founder Thom Groot commented: “We know that affordability is the biggest barrier to people getting an EV, so it is not surprising that as the price falls and availability increases, more and more people are opting for a used model. It also speaks to the increasing quality of EVs and tech that these models possess, with more people than ever feeling confident in making the switch.

“A strong second hand market is key to the growth of EV uptake and reaching ZEV goals by 2030, so this is a positive step. Salary sacrifice is going to be key to this, and the growing demand is an indication that it is increasingly recognised as the best way to get an EV, used or otherwise.”