01:31 30-01-2026

Electric vehicles are more cost-effective than petrol and diesel cars

A study shows EVs save 1,100 euros yearly in Germany and 1,700 euros in the UK on total ownership costs, with smart meters boosting UK savings.

Electric vehicles are already more cost-effective than petrol and diesel cars in terms of total expenses, both in Germany and the UK. This conclusion comes from a joint analysis by the Klimaneutrales Deutschland initiative and the UK's Energy and Climate Intelligence Unit.

The study compared total ownership costs for popular models: the VW Tiguan and VW ID.4, VW Polo and Renault 5, Audi Q5 and Tesla Model Y, BMW 318 and Tesla Model 3, and Hyundai Tucson and Hyundai Kona. It assumed owners could charge at home from the grid without solar generation, factoring in costs for electricity, fuel, taxes, insurance, and maintenance over 14 years.

According to the calculations, in Germany, switching from a Tiguan to an ID.4 saves 855 euros per year, while a Tesla Model Y compared to an Audi Q5 saves 1,790 euros annually. On average across models, the savings reach about 1,100 euros per year.

In practice, the benefit is higher in the UK, averaging over 1,700 euros per year—roughly 600 euros more than in Germany. This detail matters because it highlights the main reason: digitalised grids and smart meters, which were available to 62% of Britons in 2024 versus just 1% in Germany. This access allows for overnight tariffs, where charging can cost around 8 cents per kWh.