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Is the Lack of Affordable EV Models Hurting European Car Manufacturers?

The VW ID3 price starts at £35,700 offering an all-electric option for loyal Golf lovers. However, the VW Golf petrol can be still be purchased at a more affordable £25,500.

There are numerous factors at play which have contributed to why Western Car Giants struggle to invigorate and drive demand for their EV offerings. It’s not that people don’t want electric, that the charging infrastructure is lacking, or the issue of range anxiety that puts people off buying electric. It’s simply that, for the average private buyer, they’re unaffordable. They are too expensive. The new car market is no longer scaled to the wealth of average people.


According to the latest data from the SMMT, market share for full battery electric cars continues to grow but demand is levelling off, which has got car makers worried. We are nowhere near where we need to be on our journey towards net zero and widespread adoption of battery electric vehicles (BEVs) has always been key to achieving this. Petrol car sales barely shrank across 2024, equating to 54% of all cars sold YTD. In addition, demand for new hybrids actually grew from 20% a year ago, to 22% today. Our continued reliance on fossil fuelled vehicles is extremely worrying and European Car Manufacturers are not helping matters.


Consumers actually want to move to electric, its just that for many, they're unaffordable. There is a serious lack of affordable EV models being offered by European Car Manufacturers. Conquering the all-important affordability category will ultimately win over the average car buyer and deliver mass EV adoption both here in the UK and across Europe. It's this that is hindering electric growth, rather than consumers who remain unconvinced by the technology.

Dacia Spring: At £14,500 OTR, one of only a few EVs aimed at the budget end of the New Car Market in 2024

Out of the twelve cheapest BEV models that were available in the UK throughout 2024, only three were priced at the budget end <£20,000, with the remaining ranging between £22,000 and £28,000 (see table).

Affordable BEVs Available Currently in the UK (2024)

New Purchase Price

Production

Manufacturer

Citroen Ami

£7,695

Morocco

Stellantis

Dacia Spring

£14,500

China

Renault Group

Vauxhall Corsa-e

£16,500

Spain

Stellantis

Citroen e-C3

£21,990

Slovakia

Stellantis

Vauxhall Mokka-e

£22,500

France

Stellantis

Fiat 500e

£24,000

Italy

Stellantis

BYD Dolphin

£26,000

China

BYD Auto

Nissan Leaf

£27,000

England

Nissan

MG-4

£27,000

China

SAIC Motor Corp

Peugeot E-208

£27,000

Slovakia

Stellantis

Renault Zoe (discontinued)

£28,000

France

Renault Group

Mazda MX30

£28,000

Japan

Mazda Motor Corporation

Growth of new EV car sales to this point have likely been fuelled by Fleet purchases and mid to high earners who have sufficient disposable income to splash out on the higher spec vehicles that inundate the auto market. European Car Manufacturers focus on producing higher-end vehicles as these appeal to the Fleet and Business segment (66% of all new cars sold) and typically deliver the best profit margins.

The 7 Seater Kia EV9 OTR price starts from £65,025.00

EV demand is plateauing likely due to this segment becoming over-saturated with choice, and not enough new buyers looking to purchase. Average wage earners haven’t got £40,000 or more to sink into a new car and consequently much of the current EV models remain unattainable.


Fear not, more choice is on its way, be it slowly. It might surprise you to read that 27 new EV models were launched in 2024 in the UK. Sadly, there were very few offerings at the budget end of the market (<£20,000) but a few additions to the £23,000 and under category. Here's what has recently arrived and what's still to come in 2025:

Model

Production


Country

Vehicle


Category

Starting


Price

UK Launch


Year

Citroen Ami

Morocco

Micro EV

£7,695.00

2024

Dacia Spring

China

Supermini

£14,995.00

2024

Citreon e-C3

Slovakia

Supermini

£21,990.00

2024

Skoda Epiq

Spain

Compact SUV

£22,000.00

2025

VW ID2

Spain

Supermini

£22,000.00

2025

Renault 5

France

Supermini

£23,000.00

2024

Mini Cooper electric

China (UK in 2026)

Supermini

£30,000.00

2024

Mini Aceman

China (UK in 2026)

Supermini

£31,800.00

2024

Volvo EX30

China (Belgium in 2025)

Compact SUV

£32,850.00

2024

Kia EV3

South Korea

Compact SUV

£32,890.00

2024

Fiat 600e

Poland

Compact SUV

£32,940.00

2024

Alfa Romeo Junior

Poland

Compact SUV

£33,895.00

2024

Jeep Avenger

Poland

Compact SUV

£34,999.00

2024

Cupra Born V2

Germany

Family Hatchback

£35,495.00

2025

Skoda Enyaq

Czech Republic

Midsized SUV

£36,970.00

2024

Abarth 600e

Poland

Compact SUV

£36,975.00

2025

Scenic E-Tech

France

Compact SUV

£37,495.00

2024

Xpeng G6

China

Midsized SUV

£44,000.00

2024

BYD Seal EV

China

Midsized SUV

£45,695.00

2024

Explorer

Germany

Large SUV - 5 Seater

£45,875.00

2024

Peugeot e-3008

France

Midsized SUV

£45,950.00

2024

Cupra Tavascan

China

Midsized SUV

£47,340.00

2024

MG Cyberster

China

2 Seater Roadster

£54,971.00

2024

Audi Q6 e-tron

Germany

Midsized SUV

£59,975.00

2024

Polestar 4

China & South Korea

Midsized SUV

£59,990.00

2025

Kia EV9

South Korea

Large SUV - 7 Seater

£65,025.00

2024

Porsche Macan

Germany

Large SUV - 5 Seater

£67,255.00

2024

Audi A6 e-tron

Germany

Large Sports Saloon

£69,000.00

2024

Polestar 3

China

Large SUV - 5 Seater

£69,900.00

2024

Lotus Emya

China

Large Sports Saloon

£90,805.00

2024

Volvo EX90

China

Large SUV - 7 Seater

£96,255.00

2024

Range Rover Electric

UK

Large SUV - 7 Seater

£100,000.00

2024

Renault 4

France

Supermini

TBC

2025

Jeep Recon

Poland

Large SUV - 5 Seater

TBC

2025

VW ID.GTI

Spain

Supermini

TBC

2025



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