Fuel Prices Reach An All Time High – Should You Go Electric

With the current fuel prices and the pandemic induced volatility in the used car market in Northern Ireland and the world over, as the result of a chip shortage worldwide, the experts scurried to understand the changes, predict the impact and assure the public that there would be a return in stability. 

Previously we have discussed the shift to electric vehicles and with the hike in fuel prices in the wake of Russia’s invasion of Ukraine sitting at eye wateringly high price points, the obvious choice might seem to be – go electric -, it would certainly seem to be and with the looming ban of the sale of diesel and petrol cars, the question now is: Should I buy an electric car?

With the reports circulating and diesel prices hitting an all time high of £2.07/ litre this month in certain places around the UK, petrol prices also soar and are reportedly sitting at £1.83/ litre. The public urge to consider a shift to electric vehicles is on the rise as the forecourt chaos continues as a result of the rising tensions in Ukraine.

Source: RAC Fuel Watch

Industry body Autotrader has reported a huge increase of over 60% in the searches that they are getting for electric vehicles with record breaking sales backing up the search volumes. 

On the edge with deciding to buy an electric car?

The classic combustion engine used car market is far from over, with the average income in UK households, the upfront costs of electric cars are just not feasible and thus the sales of used cars continues to thrive with demand remaining consistent.

The upfront costs of buying an electric car are no shock to the system as the industry is booming and the demand for electric vehicles is at all time high, with fuel prices adding to this. If you are on the edge of buying an electric car, we outline below some information that may help you with your decision:

Running Costs

The charging of each individual vehicle is different, but charging an electric vehicle on the average 12,000 miles costs in and around £500, if you are currently driving a classic combustion engine car, then the average cost is in the realm of £1400. 

Over the course of a year making the switch, there is a saving in the running costs of £900 / year or  £75/ month. 

With the cost of living on the rise and inflation considerations for the future factored in, the average saving of £900/ year would have a big impact on the average UK income.

Insurance on Electric Vehicles

The batteries that ‘fuel’ or drive the vehicle shockingly make up around 45-50% of the vehicle – making them expensive to repair, but looking at comparison sites and the industry average, the cost of insuring an electric car and a typical combustion engine car are not worlds apart. 

Insurance Average: Car Type 

Electric: £490

Diesel: £509

Petrol: £456

This price point though, can be associated with the fact that there are limited repair options as the mechanic industry seeks to retrain in the maintenance and repair of electric cars to future proof their livelihood. As the repair costs and the availability of the skill becomes more widespread as electric vehicles begin to make up the majority of the market – this is a price that will come down considerably as consumers have more options available to them.

The Boom of the Used Electric Car Market Is Coming

With zero emissions and therefore no tax payable on the on road status of the car, there is a saving immediately that can be attained. The rise of electric cars, the ban of combustion engine sales looming and the current price hikes in fuel, the electric car market is set to boom. Therefore the used electric car market is going to follow suit as we gear up for an emission less roads across the nation – time to invest in the electric car market it would seem.

David is one of the Co-founders at Carlover. He has an extensive background as a product designer & manager, spending the last 5 years leading teams in designing and building apps for multiple industries. He is a self confessed car fanatic and a lover of all things tech. When he's not working on the amazing set of Carlover products, you can usually find him working on his own cars!