You've heard the claim: electric cars are cheaper to run than petrol. But is it really true, or just marketing hype? Let's look at the actual numbers.
The Short Answer
Yes, electric cars are genuinely cheaper to run. The savings are substantial and well-documented. However, the exact amount depends on how you charge, how much you drive, and what you're comparing against.
Fuel/Energy Costs: The Biggest Difference
Cost Per Mile Comparison
| Vehicle Type | Cost Per Mile |
|---|---|
| Petrol (45 mpg, £1.45/L) | 14.6p |
| Diesel (55 mpg, £1.50/L) | 12.4p |
| EV (home, standard tariff) | 7p |
| EV (home, EV tariff) | 2-3p |
| EV (public rapid charging) | 17-21p |
Key insight: Home charging on an EV tariff costs 80-85% less per mile than petrol. Even on a standard tariff, it's about 50% cheaper.
Annual Fuel Costs (10,000 miles)
| Vehicle | Annual Cost |
|---|---|
| Petrol (45 mpg) | £1,460 |
| Diesel (55 mpg) | £1,240 |
| EV (standard home tariff) | £700 |
| EV (EV tariff) | £200-300 |
| EV (100% public charging) | £1,400-1,700 |
Typical saving: £700-1,200 per year for home charging vs petrol.
Maintenance Costs: EVs Win Again
Why EVs Cost Less to Service
Electric cars have fewer moving parts:
| Component | Petrol Car | Electric Car |
|---|---|---|
| Engine oil | Change every 10-15k miles | None |
| Oil filter | Replace regularly | None |
| Air filter | Replace regularly | Same |
| Spark plugs | Replace periodically | None |
| Timing belt | £300-600 to replace | None |
| Exhaust system | Can corrode, expensive | None |
| Clutch | Wears out | None |
| Gearbox | Complex, can fail | Simple, reliable |
| Brakes | Wear normally | Reduced wear (regen braking) |
Annual Maintenance Comparison
| Vehicle Type | Annual Servicing | Typical Repairs |
|---|---|---|
| Petrol | £200-400 | Variable |
| EV | £100-150 | Minimal |
Typical saving: £100-250 per year on servicing alone.
Brake Savings
EVs use regenerative braking (the motor slows the car while recapturing energy). This means:
Many EV owners never replace brake pads in normal use.
Road Tax (VED)
Current Rates (2024-2025)
| Vehicle | Annual Road Tax |
|---|---|
| Petrol (typical) | £165-580 |
| Diesel | £165-580 |
| Pure EV | £0 |
| Plug-in Hybrid | £0 (first year), then varies |
Note: From April 2025, EVs will pay standard rates (£195/year for most). Still cheaper than many petrol cars.
5-Year Tax Comparison
| Vehicle | 5-Year Tax Cost |
|---|---|
| Petrol (£180/year avg) | £900 |
| EV (free until 2025, then £195) | £390 |
Saving: £510 over 5 years.
Insurance: Roughly Comparable
EV insurance was historically more expensive, but the gap has narrowed:
| Factor | Impact |
|---|---|
| EV repair costs | Higher (specialist parts) |
| EV theft rates | Lower than average |
| EV accident rates | Lower (careful drivers?) |
| EV fire risk | Lower than petrol |
| Insurer experience | Growing, prices normalising |
Current situation: Similar or slightly higher than equivalent petrol cars. Shop around — prices vary significantly.
Total Running Costs: The Full Picture
Annual Running Costs Comparison (10,000 miles)
| Cost Category | Petrol | EV (Home Charging) |
|---|---|---|
| Fuel/Energy | £1,460 | £300 |
| Servicing | £300 | £125 |
| Road tax | £180 | £0 |
| Insurance | £500 | £550 |
| Total | £2,440 | £975 |
Annual saving: £1,465
5-Year Running Costs
| Cost Category | Petrol | EV (Home Charging) |
|---|---|---|
| Fuel/Energy | £7,300 | £1,500 |
| Servicing | £1,500 | £625 |
| Road tax | £900 | £390 |
| Insurance | £2,500 | £2,750 |
| Tyres | £600 | £700 |
| MOT | £250 | £250 |
| Total | £13,050 | £6,215 |
5-year saving: £6,835
But What About the Purchase Price?
EVs typically cost more to buy. Does this offset the running cost savings?
Total Cost of Ownership (5 Years)
Example: Family hatchback class
| Cost | Petrol (£28,000 new) | EV (£35,000 new) |
|---|---|---|
| Purchase price | £28,000 | £35,000 |
| 5-year running costs | £13,050 | £6,215 |
| Depreciation (est.) | £12,000 | £14,000 |
| Total cost | £53,050 | £55,215 |
Difference: EV costs ~£2,165 more over 5 years in this example.
But wait:
High-Mileage Driver (20,000 miles/year)
| Cost | Petrol | EV |
|---|---|---|
| Purchase | £28,000 | £35,000 |
| 5-year running costs | £22,000 | £9,500 |
| Depreciation | £14,000 | £16,000 |
| Total | £64,000 | £60,500 |
EV saves £3,500 — now cheaper despite higher purchase price.
Used EV
| Cost | Used Petrol (£12,000) | Used EV (£15,000) |
|---|---|---|
| Purchase | £12,000 | £15,000 |
| 5-year running | £13,050 | £6,215 |
| Total | £25,050 | £21,215 |
Used EV saves £3,835.
When Are EVs NOT Cheaper?
1. No Home Charging
If you rely entirely on public rapid charging:
2. Very Low Mileage
If you drive under 5,000 miles/year:
3. Short Ownership Periods
If you change cars every 1-2 years:
Real Owner Experiences
Case Study 1: Average Driver
Case Study 2: High-Mileage Commuter
Case Study 3: No Home Charging
The Verdict
EVs Are Genuinely Cheaper to Run When:
EVs Are Only Marginally Cheaper When:
The Data Is Clear:
| Claim | Verdict |
|---|---|
| EVs cost less per mile | TRUE (50-85% cheaper) |
| EVs cost less to service | TRUE (30-50% cheaper) |
| EVs cost less in tax | TRUE (currently £0) |
| EVs cost less overall | TRUE for most drivers |
Bottom line: Yes, electric cars really are cheaper to run than petrol. For a typical UK driver charging at home, expect to save £1,000-1,500 per year on running costs. Over 5 years, that's £5,000-7,500 — often enough to offset any purchase price premium.
The marketing isn't hype. The numbers add up.