New analysis from the Energy & Climate Intelligence Unit (ECIU) has found that the UK's most-viewed second-hand electric vehicles (EVs) on Autotrader can still save their owners around £1,450 a year on average, despite government plans to introduce a 3p per mile tax on EVs in 20281. The findings were published on 28 November 20251.
The analysis models ten years of second-hand ownership, covering purchase cost and all running costs, from the date of second-hand purchase, typically around four years old1. It looks at the most-viewed second-hand EVs of 20251. The list consists mostly of larger EVs with high savings, such as the Jaguar i-Pace, Polestar 2 and Audi Q4 e-tron, but smaller models also show savings: almost £700 a year for the Nissan Leaf, £940 for the Renault Zoe and £650 for the Kia Niro1.
The ECIU attributes the savings to significantly lower charging costs compared with petrol costs, and to EVs having reached price parity with petrol equivalents on the second-hand market1. The model projected electricity prices falling slightly this decade to 21p/kWh and then plateauing, and petrol prices rising by about 3p per litre each year, in line with the historical trend of the last twenty years1. Sensitivity analysis showed similar results across a range of price projections1. The ECIU also states that the sticker price of new EVs is falling and that, at some point between 2026 and 2028, new EVs are expected to be the same price as new petrol cars1.
Separate ECIU analysis, based on the ten best-selling new EVs of 2024, found that even with a 3p per mile tax, new EVs would still be around £1,000 cheaper to run per year than petrol cars1. The ECIU cites SMMT data showing that sales of second-hand EVs in Q3 2025 grew by 44%, the highest rate of growth of all other drivetrains including petrol, diesel and hybrid1.
Colin Walker, Head of Transport at the ECIU, said:
"An ever-increasing number of savvy families are turning their backs on paying a 'petrol premium' to run their old cars, trading them in for second-hand EVs that can save hundreds, even thousands, of pounds a year."
He added that the 3p per mile tax "is understandably causing concern, risks undermining consumer confidence, and could significantly slow the sale of new and used EVs", and that the government's recent weakening of its targets for new EV sales could encourage manufacturers to sell more plug-in hybrids, which he said "burn 490% more fuel than their manufacturers claim", and fewer EVs1.
| Model | Annual saving |
|---|---|
| Nissan Leaf | almost £700 |
| Renault Zoe | £940 |
| Kia Niro | £650 |
| Most-viewed second-hand EVs (average) | around £1,450 |
Why it matters for households
For a household weighing up a used car, the analysis puts the running-cost gap between electric and petrol models at hundreds to more than a thousand pounds a year, with charging costs rather than purchase price doing most of the work1. That matters for energy independence at home because an EV charged at home draws on electricity rather than petrol, shifting a household's transport fuel from a globally priced oil product to a domestic energy supply, and the projected path of electricity prices against rising petrol prices is what underpins the modelled savings1. The planned 3p per mile tax from 2028 reduces the gap but, on the ECIU's figures, does not close it1. The ECIU notes that the government's messaging around the tax is causing concern and could slow EV sales, which would in turn affect the supply of used EVs reaching the second-hand market1. Details of charging at home are covered in the site's EV charging hub.
What happens next
The 3p per mile tax on EVs is planned for 20281. The ECIU expects new EVs to reach the same price as new petrol cars at some point between 2026 and 20281. No further dates have been reported.