Used Electric Car Values Surge Amid Rising Fuel Prices

The value of some used electric vehicles (EVs) has seen a significant increase in the past six months, driven by escalating fuel costs. With diesel prices exceeding £2 per litre and petrol remaining high, consumers are increasingly turning to battery-powered cars to mitigate rising transportation expenses.

Experts note that the demand for second-hand EVs has pushed their values up by as much as 28 percent over the last half-year. This trend marks a notable shift after years of substantial depreciation for electric vehicles.

"What we're really seeing is a recovery from previously depressed positions rather than a market running away with itself," said Chris Plumb, head of current valuations at Solera cap hpi. He cautioned against interpreting these price increases as a sign of runaway used EV markets, emphasizing that many models remain considerably cheaper than when new. "In many cases, these vehicles still represent excellent value for money and are becoming increasingly attractive to used car buyers as confidence in EVs continues to improve."

The Mini Electric has experienced the most substantial gain, with a three-year-old model increasing in value by 28.3 percent, or approximately £2,805, in the last six months. Other notable gainers include the Tesla Model 3 and Polestar 2, both of which have seen their values rise by 20.9 percent over the same period. In cash terms, the Tesla Model 3 is now worth £3,813 more, and the Polestar 2 has increased by £3,765.

The Cupra Born and Subaru Solterra SUV have also shown strong performance, with value increases of 19.9 percent and 19.3 percent, respectively. Even more budget-friendly options like the Peugeot e-208 and MG4 have seen value growth of 17.4 percent and 15.4 percent, respectively.

This growing interest in used EVs is also seen as positive news for existing owners and leasing companies that have invested in electrifying their fleets. Toby Poston, chief executive of the British Vehicle Rental and Leasing Association, stated that stronger demand is helping to stabilize used EV values. Ginny Buckley, founder of Electrifying.com, added that the notion of electric cars not holding their value is becoming outdated.

Despite the recent surge, valuation experts maintain that used EVs continue to offer good value. This is attributed to the fact that the recent price recovery has not fully reversed the initial sharp depreciation that new EVs often experience shortly after leaving the showroom.

Ten Used EVs Showing Significant Value Growth:

1. Mini Cooper Electric (2019-2024): Up 28.3% (£2,805), from £9,905 to £12,710.
2. Tesla Model 3 (2019-2024): Up 20.9% (£3,813), from £18,375 to £22,188.
3. Polestar 2 (2019-present): Up 20.9% (£3,765), from £18,057 to £21,822.
4. Cupra Born (2021-present): Up 19.9% (£3,080), from £15,475 to £18,555.
5. Subaru Solterra (2022-present): Up 19.3% (£2,575), from £13,350 to £15,925.
6. MG5 (2020-2025): Up 18.9% (£1,706), from £9,025 to £10,731.
7. Kia e-Niro (2018-2023): Up 18.4% (£2,367), from £12,867 to £15,233.
8. Volkswagen ID.3 (2020-2024): Up 17.6% (£2,222), from £12,648 to £14,870.
9. Peugeot e-208 (2019-present): Up 17.4% (£1,668), from £9,593 to £11,262.
10. MG4 (2022-present): Up 15.4% (£1,755), from £11,355 to £13,110.

*Prices are based on three-year-old examples with 30,000 miles and reflect current trade values.