Pros of leasing
When leasing, you have access to a wider range of vehicles to choose from, so a short-term lease gives you the flexibility to upgrade after your lease period.
As EV technology and manufacturing is increasing, it is likely that EVs will drop in value, even more so than petrol or diesel cars. For example, EVs are being developed with better battery ranges, so it is likely that you’ll want to upgrade when this becomes available.
Battery health is another concern. A 2020 report found that you can expect an EV with a range of 188 miles to drop to 173 miles on average after six years. If you travel 188 miles a week, that’s a loss of 780 miles a year for example. Typically, you would trade in your EV after 2/3 years, so this wouldn’t be an issue.
Service and maintenance packages are included by some providers, and the cost is usually spread across the length of the contract, which are scheduled maintenance such as MOT, servicing and tyre replacement. Breakdown and roadside assistance can also be included and you should also find that breakdown cover is included as part of the manufacturer’s warranty.
Cons of leasing
On your contract there will be a set number of miles that you’re allowed to travel per year, if you exceed this there will be mileage penalties and a subsequent cost per mile that you exceed. The number of miles in your contract also reflect your monthly rental payment, so the more travelling you do, the higher your monthly payment is likely to be.
Even though you don’t own the car, you are expected to look after the car as if you do. If you don’t add on a maintenance package, it will be your responsibility to ensure the vehicle is fully maintained yearly, as well as repair any damage caused beyond reasonable wear and tear. Any damage or failure to service the vehicle will result in end of contract charges.
In rare cases, you may have to rent the battery – but most new models have batteries included as standard. But it’s worth a check!