News & Features

Used EV Market in Need of a Boost

Posted in General News on Wednesday, October 29th, 2025

The AA’s latest Recharge Report for September is urging the government to introduce financial incentives for used electric vehicles (EVs), warning that the current focus on new car grants risks leaving the majority of private buyers behind and slowing the UK’s journey to net zero. 
The organisation points to findings from the UK’s first EV Readiness Index, which reveal that 90% of private car sales in 2024 were used vehicles. As these buyers are excluded from the existing new EV grant scheme, many are calling for measures such as a dedicated used EV grant, interest-free loans, or the removal of VAT on second-hand electric models to help make the switch more affordable. 

While new EVs remain, on average, 27% more expensive than their petrol equivalents, used electric cars are now just 3% higher in price compared with similar used petrol vehicles. This price convergence, The AA says, makes the second-hand EV market a vital route for accelerating electric adoption among everyday motorists. However, the report warns that much of the new EV supply, and the resulting used stock currently relies on fleet and leasing companies. These businesses face growing risks due to the sharp depreciation of electric cars, which could undermine the sustainability of the used EV supply chain in the coming years. 

With the Autumn Budget due on 27 November, The AA is calling on Chancellor Jeremy Hunt to introduce a specific incentive for used EV purchases to support both consumers and the wider industry. 

The September Recharge Report also brings encouraging news for current EV drivers, showing that public charging prices remained flat from August despite a small increase in petrol costs. 
Electric car owners can achieve significant savings by charging during off-peak hours, with ultra-rapid charging rates dropping to around 50p per kilowatt hour, allowing an 80% recharge for roughly £20 about half the cost of filling a petrol tank. 

Domestic charging rates have also remained stable at around 26p per kilowatt hour, meaning drivers who primarily charge at home continue to enjoy some of the lowest per-mile running costs available. Jack Cousens, head of roads policy at The AA, said: In order to maintain the longevity of the electric transition, more needs to be done to bolster the used EV market. Fleet and leasing companies are currently propping up the sector, but this can’t continue much longer. Depreciation levels on used EVs are reaching a tipping point where some form of incentive is needed to help shoulder the burden.” 

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