What are the costs?
It is currently on average £15,000 cheaper to drive an electric car 100,000 miles. If you take into account that fuel prices are likely to rise around 5pc per year, and it would take the average car driver 8 years to drive 100,000 the actual saving will be more like £21,0000.Electric vehicles for London
Helping Londoners go electric with Source London
On 26 May 2011 the Mayor launched Source London, the UK’s first citywide electric vehicle charging point network and membership scheme. Source London will make ...it easier for electric vehicle owners to plug in whilst on the move to support the Mayor’s aspiration to create 1,300 public and workplace charge points across the city by April 2013. This means there will be more charging points than petrol stations in London – giving Londoners the confidence that they can charge their vehicle easily and conveniently at charge points on residential streets, and off-street locations such as supermarkets, public car parks and shopping and leisure centres.
Government support in the form of the Plug-in Vehicle Grant is available to reduce the higher initial cost. This provides a subsidy of:
•25%, up to £5,000, towards the cost of an electric car
•20%, up to £8,000, towards the cost of an electric van
The Department for Transport's website has a list of eligible cars and eligible vans. The grant is automatically deducted from the retail price when an eligible vehicle is purchased, so there is no additional paperwork to complete, and you don't pay the full retail price upfront and then have to reclaim the benefit.
For both the car and van grant, minimum warranty terms apply and pre-registration conversions are eligible The van grant applies to vehicles with a gross weight of 3.5 tonnes or less, and performance criteria including a minimum range of 60 miles for fully electric vans (10 miles for plug-in hybrids) and a minimum top speed of 50 mph.
The lifetime running costs of an electric or plug-in hybrid vehicle will be of great interest to potential purchasers hoping to offset the higher initial purchase price against lower running costs. Plug-in cars offer a number of potential savings compared to conventional vehicles:
•a full charge will cost around £2 to £3 and will give a typical range of 100 miles. Driving 100 miles in a petrol or diesel car will cost around £12 to £18 in fuel, that is around six times the cost of the electric car. The cost savings will be greatest when owners have access to an overnight low rate electricity tariff.
•plug-in vehicles are currently exempt from Vehicle Excise Duty (road tax).
•plug-in cars are eligible for a 100% discount from the London Congestion Charge, worth up to £2,400 a year.
•free parking may also be available to further encourage the uptake of electric cars in some urban areas.
•there are fewer mechanical components than conventional vehicles so servicing costs are likely to be lower and we anticipate that maintenance costs will be lower too.
•for company car drivers, there is zero 'Benefit in Kind' company car tax to pay on fully electric cars until 2015, as well as exemption from tax on the provision of free private fuel.Please insert your text here.