‘Smart’ British EV drivers saving more than German counterparts – analysis

With EV sales in the UK outpacing those in Germany, [1] new analysis from the Energy & Climate Intelligence Unit (ECIU) has found that British EV drivers are on average saving over £540 a year more than EV drivers in Germany. More than a fifth of the new cars sold in the UK in 2025 so far have been EVs. [2]

While EVs can be significantly cheaper to own and run than petrol cars in both the UK and Germany, the savings on offer for UK EV drivers are more than one-and-a-half times those for EV drivers in Germany.

The analysis compared electric cars with petrol equivalents, using a selection of vehicles that are popular in both countries. The results showed that German drivers can save £970 a year from owning and running an EV over a petrol car. However, those savings jump to over £1,500 a year for British EV drivers.

Part of the reason behind this is that, while petrol prices in the UK and Germany are broadly similar, British EV drivers are able to use smart meters to charge their EVs using cheap, surplus power at night when electricity demand is lower. These ‘flexible’ tariffs allow EVs to be charged for as little as 7p/kWh, [3] meaning they can be run for less than 2p per mile, compared to around 15p per mile for a petrol or diesel car. In Germany the limited adoption of smart meters means such tariffs are not readily available, resulting in EV owners that charge their vehicles at home having to do so for 29p per kWh, equivalent to just over 7p per mile – still significantly less than a petrol or diesel car, but significantly more than EV drivers in the UK.

Commenting on the analysis Colin Walker, Head of Transport at the Energy and Climate Intelligence Unit, said: “We’re ahead of Germany in terms of market share for new EVs, which means a greater proportion of British drivers are taking advantage of the hundreds of pounds that can be saved by switching from petrol to electric driving. Thanks to electric cars the UK’s motoring bills are falling. And thanks to smart net zero technology most drivers can charge on cheap electricity overnight while they’re asleep, allowing them to save hundreds of pounds a year more than the average German EV driver.

“The majority of UK drivers have off-street parking, but even those who are reliant on regular public chargers can still make a saving over a petrol or diesel. With sticker prices falling [4] and the second-hand EV market booming, [5] more regular families are making these savings.

“But with the UK Government weakening its policy on EVs there’s a risk more people will get talked into buying hybrids, which recent research has found are typically even more polluting, and expensive to run, than previously thought.” [6]

EV savings are growing, with a narrowing in the gap between the upfront costs of EVs and petrol cars in the UK. For example, the electric Renault 5 is now only £1,400 more expensive to purchase than the petrol VW Polo – an extra cost that is paid off in little more than a year through the 5’s significantly cheaper fuelling costs. VW’s electric ID.4 is actually £550 cheaper than a petrol VW Tiguan, meaning that ID.4 owners can start enjoying savings the moment they buy the vehicle.

Commenting from a German perspective, Adrien Pagano, Head of Transport at the Initiative Climateneutral Germany (IKND), said: “This analysis highlights how much German drivers are missing out because our energy system has been too slow to modernise. While electric vehicles are already much cheaper to run than petrol or diesel cars, the lack of smart meters and flexible tariffs in Germany means that drivers cannot yet take full advantage of cheap and clean power – something that is already standard in the UK. The potential is there, but policy and regulation have to move faster if we want to make e-mobility truly affordable for everyone.

“Our latest survey shows that the ability to charge at home is a decisive factor for many Germans considering buying an electric car. If we want to boost the sales of electric cars, we must not only expand charging infrastructure but also unlock the benefits of smart charging and dynamic electricity pricing. These technologies can reduce costs for consumers and make better use of renewable power, a win-win for drivers and the energy transition.”

ENDS

Notes to editors:

1. https://newautomotive.org/ecc

2. https://storage.googleapis.com/public_download_assets/ecc_pdfs/20251204%20ECC%20November%202025.pdf 

3. https://octopus.energy/smart/intelligent-octopus-go/

4. https://www.independent.co.uk/cars/electric-vehicles/electric-vehicle-price-index-b2844873.html

5. https://www.smmt.co.uk/used-ev-market-enjoys-record-uptake-as-one-in-25-buyers-switch-over-summer/

6. https://www.transportenvironment.org/articles/smoke-screen-the-growing-phev-emissions-scandal

For more information or for interview requests:

George Smeeton, Head of Communications, ECIU, Tel: 07894 571 153, email: george.smeeton@eciu.net