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Discussion Starter #1 (Edited)
Hi all, I have the opportunity to lease an e-Niro via my work's salary sacrifice scheme for ~£360/mo for 36 months @ 12.5k miles per year. This is quite a lot lower than the best PCP deals I can find out there and includes insurance, tyres, servicing, and breakdown cover. I've done some sums below to estimate the total cost of ownership over the 3 years compared to keeping my current car:

Lease = +£13k
Charging Point = +£750
Electricity = +£700 (9050 kWh @ 5p/kWh + adjustment for higher day rate than current tariff)
Insurance = - £1.2k
Servicing & MOTs = -£500
Tyres = -£200
Breakdown cover = -£240
Diesel = -£3.5k
Diesel car depreciation = -£1.2k (kinda hard to tell but it's a 2014 Euro 5 with 45k miles)

Total = £7,610 = £2,537/year
Estimates: 11.8k miles per year, 250 miles per battery charge, 4.8 L/100km current vehicle economy, £1.25/L diesel price, £6k current vehicle value

Seems great to me, although obviously if I bought the car instead most of the costs and savings above would still apply. Essentially by leasing I'd be paying £13k - £1.8k (insurance, tyres, servicing) = £11.2k over 3 years instead of £35k upfront. The essential question is would a 2020 e-Niro depreciate by more or less than £11.2k over 3 years? I think the answer is "probably" given the rapid acceleration in the electric car market but there's pretty much no used ones around right now. What do you think? Is there anything I'm missing in my calculations?
 

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Depreciation is impossible to judge but £11k doesn't sound a lot on a £35k car. At the moment the depreciation on my Niro is very low and as long as they are in short supply it will probably stay that way but who knows what will happen in the next 3 years.
I've bought mine as it suits my circumstances. At the moment that is looking like the right decision for me but only you can tell what's right for you.

My thoughts on the amount of EVs on the road is that the manufacturers are making as many as they need to to meet the emissions targets. Look at what they have to keep up with and it might be a clue to how quickly things will change.

When we are out of the EU regulations might be different and we probably won't be contributing to the Europe wide quotas so that probably isn't any help!
 

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Overall the figures seem pretty good, with just a couple of quibbles...

£400 over three years is very cheap servicing seen as the MOTs will cost you likely £150 in that time.
Diesels are normally relatively expensive on servicing too.
I guess you have to hope that you don't get any faults on the diesel over those 3 years too.
No idea of what the expected average repair cost would be for your car. Might be hard to find out.
Perhaps cost a warranty on it and halve it?

The charge point seems a bit steep too. I would have expected £300-£400 with the grant unless you got something posh like a Zappi.

Depreciation, you might be able to use something like autocar to look up the closest model to your that is 3 years old and has approx the 80k miles you expect.
£1.2k on a £6k car going from 6 years/45k to 9 years/80k seems optimistic but I could be mistaken.
 

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Discussion Starter #4
So with my car an MOT+full service is £172 but I sometimes do a basic service, hence the £40 estimate. I think my depreciation estimate is conservative given the number of proposed areas a Euro 5 diesel would have to pay to enter over the coming years. The car hasn't had a single problem since I've owned it but of course that could change.

The charge point is a quote so not an estimate.
 

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Hi all, I have the opportunity to lease an e-Niro via my work's salary sacrifice scheme for ~£360/mo for 36 months @ 12.5k miles per year. This is quite a lot lower than the best PCP deals I can find out there and includes insurance, tyres, servicing, and breakdown cover. I've done some sums below to estimate the total cost of ownership over the 3 years compared to keeping my current car:

Lease = +£13k
Charging Point = +£750
Electricity = +£600 (9050 kWh @ 5p/kWh + £150 to adjust for non-cheap charging)
Insurance = - £1.2k
Servicing = -£400
Tyres = -£200
Breakdown cover = -£240
Diesel = -£3.4k
Diesel car depreciation = -£1.2k (kinda hard to tell but it's a 2014 Euro 5 with 45k miles)

Total = £7,710 = £2,570/year
Estimates: 11.8k miles per year, 250 miles per battery charge, 4.8 L/100km current vehicle economy, £1.25/L diesel price, £6k current vehicle value

Seems great to me, although obviously if I bought the car instead most of the costs and savings above would still apply. Essentially by leasing I'd be paying £13k - £1.8k (insurance, tyres, servicing) = £11.2k over 3 years instead of £35k upfront. The essential question is would a 2020 e-Niro depreciate by more or less than £11.2k over 3 years? I think the answer is "probably" given the rapid acceleration in the electric car market but there's pretty much no used ones around right now. What do you think? Is there anything I'm missing in my calculations?
Snatch it, now.
 

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The essential question is would a 2020 e-Niro depreciate by more or less than £11.2k over 3 years?
There is still a massive amount of scepticism and largely misplaced concern about technology, battery life and charging infrastructure and I don't think three years will see a paradigm shift for most people. I can't see it (a Kia) being worth more than 50% (let alone 66%) of it's value even with it being a decent range electric car.
 

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Discussion Starter #7
There is still a massive amount of scepticism and largely misplaced concern about technology, battery life and charging infrastructure and I don't think three years will see a paradigm shift for most people. I can't see it (a Kia) being worth more than 50% (let alone 66%) of it's value even with it being a decent range electric car.
Funnily enough that's one of the reasons I looked into leasing in the first place. I've never done it before but I have no idea what the EV market and infrastructure will be like in 3 years and I didn't want to pick a long-term car now when better things might come fairly soon. Of course, if not much changes I could always buy the car at the end of the lease, or dump it and buy a used version if their offer is crap.
 

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So with my car an MOT+full service is £172 but I sometimes do a basic service, hence the £40 estimate. I think my depreciation estimate is conservative given the number of proposed areas a Euro 5 diesel would have to pay to enter over the coming years. The car hasn't had a single problem since I've owned it but of course that could change.

The charge point is a quote so not an estimate.
Impressively cheap service - independent garage I assume!

Depreciation....I think it's more like £3k not £1k
I tried with Golf TDI's - cheapest for age with a vague match....I didn't try overly hard though :)
2014 - £7500
https://www.autotrader.co.uk/classified/advert/202001286665310
2011 - £3900
https://www.autotrader.co.uk/classified/advert/202002107157551

I still think your charge point quote is high. It might be a supply and demand issue there though.
 

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Discussion Starter #10
Impressively cheap service - independent garage I assume!
Yeah, my current car isn't in warranty so I just use my local garage since they're good and I trust them.

Depreciation....I think it's more like £3k not £1k
I tried with Golf TDI's - cheapest for age with a vague match....I didn't try overly hard though :)
2014 - £7500
https://www.autotrader.co.uk/classified/advert/202001286665310
2011 - £3900
https://www.autotrader.co.uk/classified/advert/202002107157551
It's hard to tell because 2013 is the earliest model available for my car (Seat Leon). 2011 models, for example, will have lower value due to being a Mk2 instead of Mk3.

I still think your charge point quote is high. It might be a supply and demand issue there though.
Nope, house is just weirdly laid out so a fair amount of work and cabling is required.
 

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Hi. Have reserved an eniro through salary sacrifice last Nov. Deal for me was £330 /month for 15k/year on a just add fuel deal.

I see the costs a little differently, previously we had a leaf which we got rid of in Jan 19 due to real range dropping less than 40 miles in winter, had it nearly 5 years. Replaced it with a Kuga as the new leaf wasnt available second hand yet.

Anyway, from a cost point of view, by the time we were adding diesel, insurance, tax, service, mot and maintenance for the Kuga it added up to almost £300 a month. That was before we actually paid for the car! So for an extra £30 a month, plus about £40 for electricity we ended up with reserving an eniro. Saving several hundred pounds a month over a 15 plate Kuga. No brainer!
 

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Discussion Starter #13
I’d look for a better quote.
That's from an approved Rolec EV installer in my area with extremely good feedback scores. There is another company that I'm waiting for a reply from. I don't think unapproved installers are eligible for the OLEV grant.

I'm still waiting to hear back from another company who have also done a survey but for Pod Point. Considering the car has a 4 month estimated lead time I'm in no rush to install the charge point.
 

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That's from an approved Rolec EV installer in my area with extremely good feedback scores. There is another company that I'm waiting for a reply from. I don't think unapproved installers are eligible for the OLEV grant.

I'm still waiting to hear back from another company who have also done a survey but for Pod Point. Considering the car has a 4 month estimated lead time I'm in no rush to install the charge point.
Direct through Podpoint is around £300 for a standard install including grant deduction.
 

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Seems everyone is ignoring the biggest saving here. The 31%+ (at least £4'147) saved by using salary sacrifice. (thanks Mr Sunek)

Makes it more like £1'116 a year.

Now I suspect you earn at least 20k,
But if its 53k and above your looking at even more saved, in fact your looking at a free car lease.

Its really smart you rolled everything in.
It allows you to get those services vat free and at least 31% paid for by the chancellor.

For those looking at what's evs could be effectivly free for you I've created a spreadsheet here...https://www.speakev.com/threads/free-ev.148225/#post-2796016
 

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Seems everyone is ignoring the biggest saving here. The 31%+ (at least £4'147) saved by using salary sacrifice. (thanks Mr Sunek)

Makes it more like £1'116 a year.

Now I suspect you earn at least 20k,
But if its 53k and above your looking at even more saved, in fact your looking at a free car lease.

Its really smart you rolled everything in.
It allows you to get those services vat free and at least 31% paid for by the chancellor.

For those looking at what's evs could be effectivly free for you I've created a spreadsheet here... Free EV?!
 

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I would like to clarify my earlier post as the discussion is now getting technical. The lease option I have gone for costs me £330/month (3 year, 15k miles/year, just add fuel policy), but this is net (I.e. after Tax / NI savings). Gross (Before savings) its closer to £530. I am a higher rate tax payer with opted out NI contributions so make the larger tax saving.

Another benefit some can get, is as salary sacrifice reduces your gross salary those earining over £50k claiming child benefit could also save on how much you have to pay back at each self assessment.
 

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Discussion Starter #19
Seems everyone is ignoring the biggest saving here. The 31%+ (at least £4'147) saved by using salary sacrifice. (thanks Mr Sunek)

Makes it more like £1'116 a year.

Now I suspect you earn at least 20k,
But if its 53k and above your looking at even more saved, in fact your looking at a free car lease.

Its really smart you rolled everything in.
It allows you to get those services vat free and at least 31% paid for by the chancellor.

For those looking at what's evs could be effectivly free for you I've created a spreadsheet here... Free EV?!
My figures are already including the savings in income tax, national insurance and student loan repayments. The gross figure for the lease is around £600/mo.
 
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