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Electric cars almost £600 cheaper a year than petrol cars

That's with insurance, fuel and road tax fee savings combined

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With the cost of living and fuel prices of late, we're all on the lookout for ways to save some cash. And it seems going for an electric car could be one of the most effective ways of doing that.

A new study shows that you can save almost £600 a year on average if you drive an EV instead of a petrol car. The research, carried out by Compare the Market, looked at the costs of driving an electric car and a petrol car over a 12-month period - taking into account insurance, fuel and road tax fees.

The research showed electric cars are £579 cheaper on average compared to petrol cars. With all things taken into account, the average cost of running an electric car is £1,264, compared to £1,843 for a petrol car. This research was based on the average annual mileage of a UK motorist in this pandemic-affected world (6,700 miles) and paying £1.62 a litre for petrol or 28p a kWh for electricity.

The recent fuel price rises have led to the overall costs of owning a petrol car to increase by over £300, while electric car ownership has risen by £137, compared to 2021. That’s a big difference.

As for fuel, the average annual cost for filling up a petrol car is now £943, which is a £221 increase compared to last year. While the average annual cost of charging up your your electric car is £519 – which is a £137 increase.

Alex Hasty, director at Compare the Market, said: “Despite surging energy bills, motorists who’ve made the switch will be glad to see that electric vehicles cost substantially less to run than a petrol alternative. As well as helping the environment, these drivers benefit from savings in fuel, insurance, and tax. 

He added: “Both electric and petrol car owners could help reduce the cost of running their car by switching to a cheaper insurance policy ahead of their renewal. Our research shows that motor insurance prices are £314 cheaper on average by switching 21 days before the end of a policy.”

Although petrol cars tend to be cheaper, experts predict the price of electric cars will gradually fall as demand skyrockets. If you think it's time you made the electric switch, cinch has hundreds of hybrids and electric cars available to buy on our online showroom. At the most affordable end of the cinch selection, we’ve a Nissan Leaf available for just £11,550 at the time of writing, which ought to please a bargain hunter or two.