Electric Cars vs Petrol & Diesel in 2025: Costs, Savings & What’s Changed in the UK
Thinking about going electric? With electricity and fuel prices shifting dramatically over the past year, many UK drivers are asking: are electric cars still cheaper to run than petrol or diesel in 2025?
This blog breaks down the latest figures on charging costs, fuel prices, tax changes and running costs to give you a clear comparison.
How Have EV Costs Changed Since Last Year?
In 2024, electric vehicles (EVs) had a clear advantage in running costs thanks to lower electricity tariffs and full road tax exemption. But things are evolving:
Electricity costs: UK energy bills rose in 2023/24, making home charging more expensive. However, many suppliers now offer EV-friendly tariffs with cheap overnight rates (as low as 7p per kWh).
Public charging: Rapid and ultra-rapid chargers have seen significant price hikes, with some networks charging over 70p per kWh — making long trips more expensive.
Road tax: From April 2025, EVs will no longer be exempt from Vehicle Excise Duty (VED). Most will pay the same standard rate as petrol and diesel cars. Expensive EVs over £40,000 will also be subject to the luxury car supplement.
Cost Per Mile: Electric vs Petrol and Diesel
Here’s a snapshot of the UK running costs per mile in 2025:
Electric (home charging): Around 5–8p per mile on off-peak tariffs.
Electric (public rapid charging): Closer to 15–20p per mile, depending on the provider.
Petrol: Around 15–17p per mile at current UK pump prices (~£1.50/litre).
Diesel: Around 13–16p per mile, slightly cheaper on motorways if driving efficiently.
👉 That means EVs charged at home are still around 50% cheaper per mile than petrol or diesel. But if you rely heavily on public chargers, the gap narrows.
Other Running Costs: Where EVs Win
Servicing & Maintenance: EVs have fewer moving parts — no oil changes, exhaust, clutch or timing belt. On average, servicing costs are 20–30% cheaper than petrol/diesel.
Repairs: Regenerative braking means brakes last longer, reducing maintenance further.
Insurance: Historically higher for EVs, but premiums are now coming down as more repair centres support EVs.
Congestion & Low Emission Zones: Many UK cities charge daily fees for petrol and diesel cars, while EVs are still exempt in most cases — saving regular commuters hundreds per year.
Total Annual Cost Comparison (2025 Estimates)
Vehicle Type Annual Fuel/Energy Road Tax (VED) Servicing/Maintenance Total Running Cost
Electric (home) ~£640 £190 £320 ~£1,150
Petrol ~£1,650 £190 £450 ~£2,290
Diesel ~£1,450 £190 £450 ~£2,090
(Figures are averages — your actual costs depend on mileage, vehicle type and charging habits.)
Are Electric Cars Still Cheaper to Run?
Yes — for most UK drivers, EVs remain cheaper to run than petrol or diesel, but the savings are not as dramatic as in 2023.
If you charge at home overnight, the savings are still substantial — often £800–£1,000 per year compared to petrol.
If you rely mostly on public chargers, EV costs can equal or even exceed diesel for long-distance drivers.
With the loss of road tax exemption in April 2025, the gap narrows further — but electricity is still the more efficient energy source.
Should You Switch to an EV in 2025?
You’ll benefit most from an EV if:
✅ You can charge at home (especially overnight).
✅ You drive 8,000+ miles per year.
✅ You commute through congestion or clean-air zones.
✅ You plan to keep the car for at least 3–5 years.
Petrol and diesel may still make sense if you:
⚠️ Drive mostly long motorway miles.
⚠️ Lack home charging access.
⚠️ Swap cars regularly and worry about resale values.
Final Thoughts
Electric cars in the UK are still cheaper to run overall than petrol and diesel vehicles, but the margin is slimmer than last year. With energy prices stabilising and more EV tariffs available, drivers who charge at home will continue to enjoy the biggest savings.
The real question isn’t just “are EVs cheaper?” but “does an EV suit my lifestyle and driving habits?” For many, the answer is a resounding yes.