Electric cars are now cheaper to buy than petrol models.

New electric cars now cost on average £42,620—£785 less than new petrol models, aided by a government Electric Car Grant and manufacturer discounts.

New electric cars are now cheaper on average than new petrol models in the UK. Autotrader data shows the average new electric car costs £42,620 compared with £43,405 for a new petrol model, a difference of £785. The change follows the reintroduction of a government Electric Car Grant and price cuts from manufacturers. Policymakers and industry groups are discussing how pricing and incentives affect the transition to zero-emission vehicles. Key facts: - Average new electric car price reported at £42,620; average new petrol car price reported at £43,405, a £785 gap in favour of electric models. - The government's £650m Electric Car Grant applies to new vehicles with a list price of £37,000 or less; manufacturers can receive either £3,750 or £1,500 and pass the sum to consumers as a discount; 47 models are eligible. - Labour's zero-emission vehicle (ZEV) mandate aims for 33% of new car sales to be electric this year; EVs accounted for 22% of the new car market between January and March, versus 21% in the same period last year. - The Society of Motor Manufacturers and Traders (SMMT) reported 86,120 EV registrations in March, up from 69,313 a year earlier. - A cross-party group of MPs, including nine from Labour, expressed concern about mixed government messaging and referenced a proposed 3p-per-mile EV tax from 2028; industry voices and Shell have called for additional incentives. Summary: The shift makes battery-powered cars cheaper on average and reflects both subsidies and retailer price reductions. Undetermined at this time.