Electric vehicle buyers snap up bargains as prices begin to stabilise

The average price of second-hand EVs and hybrids is still down 10% year-on-year compared with a 4% fall for petrol and diesel cars, according to the AA Used Car Index, although their popularity is surging.

The average cost of a second-hand EV or hybrid vehicle is now £19,143, with the Lexus RX, Toyota Camry and Toyota Prius rising the most in value.

James Hosking, director of AA Cars, said the figures were a sign that the prices of second-hand EVs and hybrids were “beginning to stabilise after a long spell of volatility”.

“More than half of the most popular EVs and hybrids on our platform have edged up in value over the past three months, suggesting we may be starting to turn a corner,” he added.

Falling prices have been caused by a flood of EVs owned by fleets that have been put on the second-hand market, and Hosking says that supply continues to outpace demand, with “huge discounts available to sellers”.

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Most popular EVs and hybrids still discounted since last year

Five of the most searched-for hybrid cars are still discounted by more than 10% since last year, with the most popular car – a Toyota Yaris – 11% cheaper than it was at the end of 2023. The Nissan Leaf, the fourth-most searched for EV car, is now 23% cheaper at £11,020 on average.

The biggest price risers since the third quarter of 2024 are the Lexus RX (up 9%), Toyota Camry (7%) and Toyota Prius (6%).

Most searched-for EVs and hybrids in Q4 2024

Recent sales figures show that savvy buyers are increasingly keen to take advantage of discounted EVs. According to second-hand car site Cinch.co.uk, second-hand EVs are selling 26% faster than petrol and diesel cars, with sales up 311% in a year.

Sam Sheehan, Cinch’s motoring editor, said Cinch is now the biggest seller of second-hand EVs, adding that the market is maturing and that there is a smaller price differential between EVs and petrol cars.

The average price of an EV on the Cinch website is now just over £1,000 more than a petrol or diesel car, at £16,075, compared with a £10,000 difference between the price of the two types of vehicles back in the summer of 2022.

“Public charging is improving, EV range is improving, and the choice of cars is growing. There’s never been a better time to go green,” he added.

Petrol car prices hold up

Hosking said petrol and diesel car prices have held up with less volatility, meaning there are smaller savings to be had on these vehicles.

AA figures show that the Vauxhall Corsa holds on to the top spot as the most popular used car at the end of 2024, ahead of the Nissan Qashqai and Ford Fiesta.

Offering the best value for money currently are Ford Transits (-19%), Volvo XC40s (-18%) and Ford Fiestas (-13%), which have all registered double-digit price falls over the past year.

Most searched-for petrol and diesel vehicles in Q4 2024, with annual and quarterly price changes

Hosking said that whichever type of car you choose, it is important to understand exactly what you’re getting.

“The key to any purchase is understanding what represents good value for money and this means doing plenty of research, and shopping around to compare prices.

“Once you’ve settled on a car, make sure you schedule an independent vehicle inspection before you buy to ensure peace of mind and help avoid any potential costly repairs in the future,” he said.