Average price of new electric car is lower than ICE-equivalent for first time says Autotrader
Sat 18 April 2026
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In an historic development, Autotrader finds that new electric vehicles are now, on average, cheaper to buy than petrol models for the first time. Based on advertised prices on Autotrader, after discounts, the average price of a new EV is £785 below that of a new petrol model.
Autotrader, the UK’s biggest automotive marketplace says that, after discounting, the average new electric car is now priced at £42,620 compared with £43,405 for a new petrol model.
Zemo reported last month that the rising cost of petrol and diesel is driving interest in electric vehicles.
Octopus EV recently carried out a survey which found that 77% of their drivers say they feel protected from sudden petrol price spikes.
Octopus EV says that typical EV drivers can save close to £1500 a year at current petrol and diesel prices, depending on where and when they are able to recharge. A high mileage driver can save £3000 or more in annual fuel costs when recharging on an overnight EV tariff.
According to analysis by ChargeUK based on RAC Fuel Watch and Zapmap Price Index data, even drivers relying solely on public charging facilities (currently averaging 54p per kWh) are paying around 15p/mile for their fuel compared with 17p per mile for drivers of a typical petrol cars and 17.5p for a diesel.
A new study by Electrify Research suggests that the increasing financial benefits of switching to electric vehicles are gaining traction in public awareness and are now close to eclipsing environmental concerns as the primary reason for EV adoption.
Commenting on the recent developments and Autotrader analysis, Colin Walker, Head of Transport at the Energy & Climate Intelligence Unit (ECIU) said: “This is a major moment in the shift to net zero emissions as clean technology becomes the cheap technology, cutting bills and carbon emissions.
"With EVs now cheaper to buy than a regular petrol car, and interest in them soaring, the Government has an opportunity to reduce the UK’s dependence on volatile oil markets by accelerating its transition to vehicles that are increasingly powered by electricity generated in British wind and solar farms. Given it’s an international market, more drilling for oil in the North Sea has no real impact on the price paid at the pump."
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