Transitioning to an electric vehicle (EV) can feel daunting, especially if you’re used to petrol cars, hybrids, or manual transmissions. However, EZOO’s salary sacrifice scheme makes adopting electric vehicles simpler, more affordable, and entirely stress-free.
Smooth Transition from Petrol or Hybrid to Electric
Switching from petrol or hybrid vehicles to fully electric can initially seem challenging. Concerns about range, charging infrastructure, and performance might arise. EZOO addresses these by providing extensive guidance and a premium selection of electric vehicles designed for real-life practicality. Modern EVs, such as those offered by EZOO—including popular choices like the Tesla Model 3, Audi e-tron, or BMW iX—often match or even exceed the performance of petrol equivalents, offering rapid acceleration, smoother driving experiences, and advanced technology.
Moving from Manual to Automatic
For drivers accustomed to manual vehicles, the move to an automatic EV can be equally transformative. Electric vehicles eliminate gear shifting entirely, providing a seamless and smooth driving experience. The simplicity of driving an automatic EV greatly reduces driver fatigue and allows for more relaxed and enjoyable journeys, especially in urban or heavy traffic environments.
Significant Cost Savings
Adopting electric vehicles through EZOO’s salary sacrifice scheme offers significant financial benefits compared to traditional petrol vehicles:
Fuel vs Electric Charging: Electric vehicles drastically cut down running costs. For instance, the average cost per mile for electricity can be around 4p, compared to approximately 18p per mile for petrol, creating substantial savings in everyday driving.
Reduced Maintenance Costs: EVs require less frequent maintenance due to fewer moving parts and no requirement for oil changes or traditional engine servicing.
Lower Total Cost of Ownership: Overall savings when switching from petrol or diesel to electric are considerable when accounting for fuel, tax, servicing, and depreciation costs.
EZOO’s Comprehensive Support
EZOO’s salary sacrifice scheme is designed to ease the transition at every stage:
All-Inclusive Packages: EZOO takes care of insurance, servicing, maintenance, road tax, and even provides complimentary home chargers, removing typical hassles associated with car ownership.
Flexible Options: Choose from a flexible short-term subscription or long-term lease options, accommodating your specific needs and financial circumstances.
Educational Resources and Support: EZOO provides resources and expert guidance to help drivers quickly adapt to electric vehicle driving, ensuring confidence and comfort from the outset.
Making Electric Accessible for Everyone
Whether you’re transitioning from petrol, hybrid, or manual transmission, EZOO’s salary sacrifice scheme makes it not just possible but highly advantageous. Employees benefit from significantly reduced costs, and companies benefit from providing a sought-after, premium, and sustainable perk, boosting morale and enhancing retention.
EZOO simplifies the adoption of electric vehicles through their tailored, supportive approach and comprehensive salary sacrifice scheme. Switching to electric becomes effortless and financially rewarding, enabling more drivers to experience the numerous advantages of electric vehicles.
Make the transition smoother, more affordable, and straightforward – choose EZOO and embrace a cleaner, smarter way of driving.
If you are a business owner, get in touch to find out how EZOO’s salary sacrifice scheme can become your most valued employee perk.
Imagine driving a luxury electric car like a Tesla Model Y, an Audi Q8 e-tron, or even a Porsche Taycan, without facing the hefty upfront costs. Thanks to EZOO’s salary sacrifice scheme, this dream is easily achievable, offering remarkable vehicles at a fraction of their typical cost.
How Salary Sacrifice Works
A salary sacrifice scheme allows employees to exchange a portion of their gross salary for a premium benefit, such as an electric vehicle. Because payments are deducted before tax and National Insurance contributions, employees can enjoy substantial savings, often between 30% and 60%, compared to traditional leasing or outright purchasing methods. For example, a Tesla Model 3 that might typically cost upwards of £900 per month under conventional leasing terms could be significantly reduced through salary sacrifice, often making it financially accessible for professionals at all levels.
Benefits for Employees
Access to Luxury: Employees gain access to high-end vehicles without the upfront financial burden.
Significant Savings: Reduced monthly payments thanks to tax and National Insurance efficiencies.
All-Inclusive Convenience: EZOO’s comprehensive packages include insurance, servicing, maintenance, road tax, and breakdown cover, removing the typical headaches associated with vehicle ownership.
Why Company Owners and Directors Should Consider Salary Sacrifice
As a company owner or director, providing salary sacrifice options to employees isn’t just beneficial for staff, it’s advantageous for your business too:
Financial Efficiency
The EZOO salary sacrifice scheme is designed to be cost-neutral for employers. The administrative fee is directly offset by savings in National Insurance contributions and VAT, ensuring no additional cost burdens.
Enhanced Employee Satisfaction and Retention
Offering a premium benefit like access to luxury electric vehicles significantly boosts employee morale and retention. In a competitive job market, such benefits can set your business apart, making it more attractive to potential recruits.
ESG and Sustainability Commitments
Adopting a fully electric fleet helps your company meet Environmental, Social, and Governance (ESG) goals, reducing your carbon footprint and enhancing your corporate image as a forward-thinking and environmentally responsible business.
Comprehensive Early Termination Cover
EZOO offers robust early termination coverage, ensuring your business isn’t financially exposed if employees leave or face significant life changes. This coverage provides peace of mind and financial stability.
Real-Life Luxury at an Accessible Cost
Consider this scenario: through EZOO’s scheme, an employee choosing a Porsche Taycan could see their monthly costs significantly reduced compared to a conventional leasing arrangement, making what was previously an aspirational vehicle a practical reality.
Meanwhile, directors or business owners opting for high-end vehicles such as the Audi Q8 e-tron not only enjoy substantial financial savings personally but also reinforce the company’s commitment to sustainable luxury and innovation.
EZOO’s salary sacrifice scheme effectively transforms the dream of driving premium electric vehicles into an attainable reality for employees and a strategic advantage for employers. With substantial financial benefits, flexible contract options, and all-inclusive packages, there’s never been a better time to embrace this opportunity.
Unlock the power of premium EVs at a fraction of the cost and drive your business toward a greener, more sustainable future with EZOO.
With the Spring Statement just around the corner (26 March), many drivers and businesses are wondering what it could mean for them. While no major surprises are expected, there are key tax updates that will impact the cost of driving—especially for those considering an electric vehicle (EV).
So, let’s break it down: what’s changing, how it affects you, and why an EV salary sacrifice scheme might still be the smartest way to drive an electric car for less.
Benefit-in-Kind (BiK) Tax – Still a Bargain for EV Drivers
If you get a car through a salary sacrifice scheme, you’ll pay Benefit-in-Kind (BiK) tax on it. The government has already confirmed that BiK for EVs will rise gradually from April 2025:
Currently: 2%
April 2025: 3%
April 2026: 4%
April 2027: 5%
April 2028: 6%
That might sound like bad news, but let’s put it in perspective. The BiK rate for petrol or diesel cars can be as high as 37%! That means even with the increases, EV drivers will still save thousands in tax each year compared to those driving petrol or diesel cars.
National Insurance Changes – What It Means for Businesses and Employees
Another big update is to National Insurance Contributions (NICs):
The employer rate is increasing from 13.8% to 15%.
The threshold for paying NICs is dropping from £9,100 to £5,000.
For businesses, this means higher payroll costs. But here’s the silver lining: offering an EV salary sacrifice scheme helps reduce taxable salaries, which means lower NIC payments. It’s a win-win—employees get a cheaper car, and businesses cut their NIC bill.
Road Tax – New Costs for All Cars (But EVs Still Win!)
Starting next year, road tax is changing for all vehicles – including electric ones. Here’s what to expect:
First-year tax:
EVs: £10
Petrol/diesel (91+ g/km CO2 emissions): £390
Petrol/diesel (255+ g/km CO2 emissions): £5,490
Annual tax after the first year: £195 for all cars
Yes, EVs will no longer be fully exempt from road tax, but they’re still far cheaper to run. Over a typical 3-year lease, an EV driver could save over £5,000 in road tax alone compared to a high-emission car.
Luxury Car Tax – EVs No Longer Exempt
If your car has a list price over £40,000, you’ll have to pay an extra £425 per year for five years. EVs used to be exempt, but that’s changing. The good news? Through salary sacrifice, you’ll save up to 60% on the cost of the car anyway, meaning you’re still paying far less overall.
So, Is Salary Sacrifice Still Worth It?
Absolutely. Despite these changes, EV salary sacrifice with EZOO remains the most cost-effective way to drive a new electric car. Here’s why:
Massive Tax Savings – Up to 60% off compared to leasing privately.
Lower NICs for Employers – Cut business costs while offering a valuable perk.
Cheaper Running Costs – EVs cost less to charge, maintain, and now even in road tax.
Hassle-Free Package – Insurance, servicing, and breakdown cover are all included.
Flexible Terms – Drive an EV from as little as 3 months.
With costs rising across the board, the smartest move is to lock in lower rates now before any further changes. If your employer doesn’t offer salary sacrifice yet, now is the time to introduce them to EZOO.
What’s The Difference Between Salary Sacrifice and Personal Lease Vehicles?
Salary sacrifice and personal leasing provide two convenient ways to access a vehicle without the upfront cost of ownership. Each option comes with its unique benefits and drawbacks, making it essential to understand which suits your circumstances best.
Many companies provide both options and come with additional benefits, learn more here.
Why choose salary sacrifice?
Salary sacrifice is growing increasingly popular in the UK due to the significant cost-saving and quality-of-life benefits.
These schemes allow employees to lease a vehicle through their employer by sacrificing a portion of their salary pre-tax and there are many reasons why you may choose to do so.
Salary sacrifice can offer savings of 30-60% on brand-new premium vehicles, with a wide range of models to suit different tastes, budgets, and requirements.
At EZOO we specialise in premium electric vehicle options, view our full list of EVs available to you here.
Tax benefits
When you pay for a vehicle through salary sacrifice, the payments are deducted from your monthly gross salary, pre-tax.
This reduces your taxable income which can in turn limit the income tax you pay, and the National Insurance contributions you make.
Convenient, full coverage
Alongside the cost-saving tax benefits of salary sacrifice cars, there are major convenience and quality of life benefits.
At EZOO, we manage your car insurance, maintenance, tax, and other expenses on your behalf and bundle them up into one monthly payment.
This saves you the hassle and time of managing these details yourself and ensures you won’t face any unexpected, unwelcome charges further down the line.
Flexible terms
Term lengths vary between providers but typically range from as short as 12 months, up to as long as 48 months.
This gives you the flexibility to commit for a longer period to spread out the cost of your contract for a reduced monthly payment or allows you to pay more each month for a shorter period.
EZOO have 3, 12, 24, 36, and 48-month contract periods to meet all needs.
What are the drawbacks of salary sacrifice?
Employer involvement
A potential drawback of salary sacrifice is that your employer must be registered for the scheme. However, referring your employer is a simple, cost-free process. Employers also benefit from reduced tax contributions, support for Net Zero goals, and enhanced employee satisfaction. Refer your employer for free here >
By joining an electric vehicle salary sacrifice scheme employers can save on tax contributions, promote Net Zero goals, and provide employees with an additional benefit, so it is a no-brainer.
Due to the employer’s involvement, the vehicle you’re leasing is tied to your job and the scheme may terminate if you leave or lose your job, it’s important to discuss these concerns.
Minimum requirements
While salary sacrifice is generally very accessible for the majority of people within all income brackets, there are minimum requirements which must be met.
EZOO for example allows employees earning as low as £20,000 per annum before deductions to participate, and the same goes for Octopus EV.
Love Electric however requires a minimum of £25,000 before deductions per annum and you must maintain over £20,000 after deductions.
Impact on pay
Of course, with part of your pre-tax salary going towards a vehicle, you will be reducing your take-home pay, after tax.
This can also reduce pension contributions, maternity pay, and other salary-related benefits.
Commitment
With salary sacrifice, you will be locked into a fixed-term agreement meaning you are committed for a certain period.
If there are unexpected circumstances requiring you to exit early, there is often a cost involved with this.
Why choose personal leasing?
Personal leasing remains a popular car financing option in the UK, offering flexibility, affordability, and convenience for individuals looking to access newer vehicles without a large upfront payment.
This type of arrangement allows individuals to lease a vehicle for a fixed monthly fee providing access to newer vehicles without the big upfront cost, along with the option to upgrade to a different car at the end of the term.
The term lengths of personal lease are typically similar to those of salary sacrifice with most lenders providing options within the 2 – 4 year range.
Longer terms allow for a lower monthly cost, while shorter terms provide less overall commitment and more flexibility.
What are the benefits of personal leasing?
Flexibility
Personal lease has been an option on the market for a long time and therefore there are a lot of providers to choose from, this allows the individual a lot of freedom to find and compare the deals which work best for them.
Employer involvement
As the lease is directly tied to the individual, your vehicle will have no dependency on your employment and will not be impacted by a change or loss of job.
Impact on salary
Monthly payments are made from your post-tax, take-home salary and therefore will not impact pension contributions, maternity pay, and other salary-related benefits.
This does however mean you lose out on the cost-saving tax benefits of salary sacrifice.
What are the drawbacks of personal leasing?
Tax benefits
Unfortunately, personal leasing does not provide the major cost-saving tax benefits that salary sacrifice does as payments are made from your take-home salary.
This means the amount of income tax or National Insurance you pay will not be impacted.
Additional costs
While salary sacrifice with EZOO conveniently bundles all costs into one simple, monthly cost, personal leasing will typically not include insurance, maintenance, road tax, and breakdown cover.
Some leases will also require an initial, upfront deposit.
These hidden costs could make it a more expensive option in the end.
Credit checks
Personal leasing agreements are tied directly to the individual, requiring a good credit score to qualify. This can limit accessibility for those with lower credit ratings.
Furthermore, missed payments could negatively impact your credit record interfering with future attempts at credit.
Restrictions
Personal leasing often comes with additional restrictions on the amount of mileage you’re allowed to do within each year. Exceeding the agreement can result in penalties.
The car must also be returned in good condition with any damage incurring additional charges, much the same as salary sacrifice.
Which is better?
To understand which is better, it’s important to understand the key differences between salary sacrifice and personal lease, and then compare those to your needs as an individual.
It is always recommended to speak to a professional and fully understand the range of options available to you.
Salary sacrifice
Personal lease
Finance source
Pre-tax salary
Take-home salary
Ownership type
Employer-organised
Individual agreement
Tax implications
Subject to BIK tax
No BIK tax
Terms
1-4 years
2-4 years typically
Inclusions
Maintenance, Insurance, etc
No additional services
Choice
Subscription service available*
More freedom of choice
With the above in mind, salary sacrifice is often considered best for those in stable jobs with an interest in low-emission, electric vehicles for maximising tax benefits and going through some of the most trusted UK providers.
The all-inclusive, hassle-free packages are another very attractive benefit for those not wanting complex car expenses to sort out.
Personal leasing therefore could be seen as better for individuals who aren’t in a stable job or considering a career change within the next 2-4 years.
Also for those wanting a larger degree of choice and personalisation within their vehicle selection, this is a direction to consider.
Ultimately, the best choice depends on your financial situation, employment stability, and the type of commitment you’re looking for.
Contact our team today for advice on the right solution for you.
Electric vehicles (EVs) are increasingly visible on Britain’s roads. Their growing popularity stems from being environmentally friendly, cost-efficient, and catering to a broad audience—from budget-conscious drivers to those seeking luxury and high-performance models.
With the increasing popularity is an increase in demand, and salary sacrifice is one such scheme helping consumers to get their hands on electric vehicles in a tax-efficient way without the large upfront costs associated with traditional vehicle ownership.
With multiple providers offering salary sacrifice schemes, it can be difficult to know who to choose and which provider to trust.
Before discussing which provider of electric car salary sacrifice is best for you, it’s important to understand what factors you should be considering.
While it is always recommended to consult a professional about your specific situation, here are some fundamental features to look for in a high-quality EV salary sacrifice scheme.
Cost savings
One of the biggest advantages for employees participating in a salary sacrifice scheme is the substantial tax savings. Payments are deducted from pre-tax income, reducing both income tax and National Insurance contributions.
Employers also benefit by saving on National Insurance Contributions, often making the scheme cost-neutral—or even profitable—for businesses.
Vehicle selection
Car ownership is very personal and due to that, a good salary sacrifice scheme will provide a large range of vehicle options, allowing you to pick a car which suits your needs, budget, and personal taste.
Brand trust
Trust in your provider of salary sacrifice to ensure you the best deal long-term with transparent pricing and no surprise costs is a key factor to consider.
Additional benefits
With salary sacrifice deals being somewhat similar between providers, it is the additional benefits which set apart a good and bad salary sacrifice scheme.
Whether it be package options, extended or shortened terms, or bundle deals.
Customer support
Salary sacrifice is an ongoing service and this makes customer support an extremely important aspect to consider before engaging with a provider.
Smaller, family-run businesses such as EZOO will naturally have different customer support and service to larger brands such as Octopus EV.
Package services
High-quality schemes should offer a complete, convenient, all-in-one package, including vehicle maintenance, insurance, breakdown cover, and road tax to make your vehicle ownership as hassle-free as possible.
Top salary sacrifice providers in the UK
There are several providers of salary sacrifice within the UK who stand out – while you will find similarities in what they offer, there are unique selling points and additional benefits for the different providers which you should take into consideration.
EZOO
EZOO is among the most trusted and fastest-growing electric car salary sacrifice providers in the UK. They are renowned for their emphasis on premium and luxury vehicles, all while maintaining affordability, convenience, and exceptional customer service.
Being a small, family-run business, you get the personal touch you’d expect, with the competitive costs and range of vehicles from that of a larger, commercial competitor.
Electric Car Scheme are a salary sacrifice provider who emphasise affordability and simplicity above all else.
This is great for cost-conscious drivers looking to maximise savings however you will compromise on the premium service from a provider such as EZOO, and may have fewer vehicle options available.
Octopus EV
Octopus EV are primarily known for their unique selling point of green energy bundles combining home EV charging through Octopus Energy with their salary sacrifice service.
Alongside this, they have a wide range of EVs to choose from and do provide all-inclusive service bundles, similar to EZOO.
They do have a slightly higher upfront cost compared to some competitors, but are a well-trusted provider and can be seen as a safe solution for some.
Love Electric
Love Electric is a salary sacrifice provider primarily geared towards helping businesses reduce their carbon footprint.
They have many of the same benefits as the aforementioned providers such as package deals, tax savings, and a good range of EV vehicles, however they don’t have the same short-term contract options as EZOO, for example.
How does EZOO stand out?
EZOO is growing rapidly and for good reason, there are several aspects which allow them to stand out from the increasingly growing range of providers offering electric vehicles through salary sacrifice.
Cost savings
Our schemes maximise savings for both employees and employers, and we will always be completely transparent with pricing – no unexpected costs.
EZOO’s salary sacrifice schemes are designed to maximise savings for both employees and employers. We are committed to complete transparency, ensuring no unexpected costs arise. Employees benefit from significant reductions in taxable income, while employers save on National Insurance, making the scheme cost-neutral at minimum—and even profitable for some businesses.
When getting a premium EV through EZOO, you can expect to save up to 60% on brand-new, premium electric vehicles when compared to traditional leasing methods making this one of the most cost-effective routes to take for vehicle ownership.
Comprehensive packages
There is a lot to consider when it comes to covering a vehicle, from insurance to servicing and maintenance, plus breakdown cover, road tax, and more.
Because of this, the simplicity of all-inclusive packages which bundle this into one, predictable, monthly cost is a key reason to choose EZOO.
Vehicle choice
Every individual has unique needs, so having a wide range of vehicles to choose from is essential. EZOO’s range includes everything from affordable models like the Nissan Leaf to luxury options such as Tesla and Mercedes, ensuring there’s a vehicle to suit every lifestyle and budget.
Company ethics
EZOO are massively driven by and committed to sustainability as part of their practice.
They lead the way by encouraging employees to switch to EVs and help businesses follow the same path by achieving net-zero goals and reducing company carbon footprints.
Customer service
The quality of customer service with EZOO is frequently highlighted in customer feedback and reviews, this is a key differentiator between EZOO and some competitors.
The website is incredibly easy to navigate, browse, and compare, while the small family-owned nature of the business keeps a personal touch on its service.
Employer options & flexibility
With contract terms ranging from as short as monthly to as long as 4 years, vehicles for all budgets, business fleet vehicle subscriptions, and employer salary sacrifice, EZOO seemingly has a scheme to suit the needs of any business or individual regardless of size, needs, and more.
Conclusion
Overall, the best provider for your electric vehicle salary sacrifice will be dependent on your financial situation, individual vehicle needs, and the type of commitment you’re looking for.
While some options value being budget-friendly most, others value sustainability and customer satisfaction most, so you need to consider your own personal requirements and because of this, it’s best to speak to a professional to assess your options openly.
Generally speaking, the surface of the EV salary sacrifice schemes provided will be largely similar between providers, the differentiators are in the additional benefits unique to each, such as EZOOs all-inclusive packages and premium vehicle selection, or Octopus EVs home charging bundles.
If you’re considering an electric car salary sacrifice scheme, take the first step today by referring EZOO to your employer—it’s completely free. Embrace the perfect combination of cost efficiency, convenience, and the luxury of driving a premium electric vehicle, all while contributing to a more sustainable future.
For more information, click here to see our range of premium electric vehicles accessible via salary sacrifice or speak to an expert today.
Bundle all expenses (insurance, road tax, maintenance) into one monthly payment.
As salary sacrifice leasing schemes become a more established way of accessing premium vehicles, there are several top providers you may want to consider.
While plenty of companies offer salary sacrifice for electric vehicles, it is important to ensure you go with a trusted provider and assess all of your options due to the different additional benefits unique to each business, setting them apart from one another.
EZOO, Octopus EV, Love Electric, and Electric Car Scheme are amongst the biggest names in the industry and each provides a diverse range of EVs and benefits for various needs ranging from family vehicles to high-end performance vehicles.
EZOO – Offering premium cars via salary sacrifice
EZOO is a family-run business. They are market leaders focused on Premium Electric Vehicles with a range of high-end options including Tesla, Audi, and Polestar. At EZOO you’ll find several models which you wouldn’t elsewhere with other competitors who may have more of a broader target demographic.
EZOO stands out for its focus on premium EVs like Tesla and Polestar. Unlike other providers, it offers flexible lease terms, including monthly contracts—ideal for businesses and individuals seeking high-end options with short-term flexibility. When you purchase a car from EZOO via salary sacrifice, all of your car maintenance fees, road tax, and more are included in one easy payment.
Whilst they are focused on premium models, they still have a good selection of mid-range and affordable EVs and considering the benefits of working with a family-run business, it’s worth taking a look at their complete range.
You can view a complete list of premium EVs available for salary sacrifice through EZOO here.
Octopus EV
Another market leader in EV salary sacrifice is Octopus EV.
This is a branch away from Octopus Energy, a large energy provider within the UK and due to this their unique selling point is within the package details and support for home charging connecting your Octopus Energy and Octopus EV deals.
Similar to EZOO they have a wide range of both premium and affordable options ranging from MG to Porsche, however, they don’t offer quite the same flexibility as EZOO due to longer contract terms being required.
Love Electric
Love Electric have a diverse range of electric vehicles available for salary sacrifice but primarily aim towards helping businesses reduce their carbon footprint.
If you’re an employer considering offering EV salary sacrifice as an employee retention benefit then this is definitely an additional benefit to factor in.
Like EZOO, Love Electric do provide leasing packages which factor in insurance, servicing, breakdown cover, and more into your monthly fee, however, they don’t have the short-term monthly and 12-month contract options available as of now.
Electric Car Scheme
Electric Car Scheme emphasises affordability and simplicity above the premium service you’ll receive from a provider such as EZOO.
This is great for cost-conscious drivers looking to maximise savings, but you will be limited to more common-place, popular options such as the Vauxhall Corsa-e and the Kia EV6 as opposed to the higher-end options elsewhere.
A further benefit to salary sacrifice with the Electric Car Scheme is the shorter term contract lengths ranging from 12 months and up.
As you can see, each of the top electric vehicle salary sacrifice providers has a unique combination of affordability, practicality, and customisation, however, the additional benefits of each provider will play a large role in the end decision you make.
Now that you know the top salary sacrifice providers, let’s explore the types of electric cars available and how to choose the best one for your needs.
If this is your first time looking into EV salary sacrifice then it’s recommended to speak to an expert about all of your options.
Electric cars available on salary sacrifice schemes
The electric cars available to you on salary sacrifice will largely depend on your level of income, your budget, contract length requirements, and the provider you choose.
Because of this, it’s good to gain an understanding of what type of electric car is best for you based on your individual needs, and then find the best provider for you.
EVs can be broadly broken down into several categories:
Affordable EVs
Affordable EVs, as the name suggests, cater to budget-conscious drivers looking for affordability and value as a primary focus.
Models such as the Dacia Spring, MG4 EV, and BYD Dolphin all offer great value for money and are perfect for daily commutes making them popular, low-cost options.
Family-friendly SUVs are for those requiring a little additional space and long ranges from a single charge.
The Volvo EX90, Peugeot E-5008, and the Mercedes-Benz EQS are must-see options known for their spacious interiors offering a family-friendly vehicle while maintaining a high quality, luxury feel.
A slight step up from the affordable electric cars are your mid-range EVs for those still looking to keep operating costs down but benefit from some longer ranges and higher-end extras.
The Volkswagen ID.3 and ID.4 provide a lot of versatility alongside a clean aesthetic and high-tech features making them a great choice within this price range.
Luxury models are for those drivers truly seeking comfort, performance, and design in one complete package.
With vehicles including the Polestar 2, Tesla Model 3, or the BMW i4, you will benefit from cutting-edge tech, long ranges, fast charging, and futuristic design.
Performance electric vehicles take things to the next level. If you’re a car enthusiast looking for an exciting, stand-out ride while also gaining all the benefits of zero emissions, these are for you.
The Porsche Taycan, Audi S6, and Mercedes-Benz EQS should all be on your radar if a performance EV is for you.
Switching to an EV through salary sacrifice is a smart choice for your wallet, the planet, and your lifestyle. Don’t wait—contact EZOO today and start saving on your dream electric vehicle!
Ready to make the switch to an electric vehicle? Explore EZOO’s range of premium and mid-range EVs today and start your salary sacrifice journey. Speak to an expert now!
Electric car salary sacrifice is a scheme that companies can sign up to allowing employees to lease an EV car with significant cost-savings and quality-of-life benefits.
Employees can save 30-60% on any electric car, save on tax and National Insurance, and have all other car-related expenses in one easy, monthly payment.
When you look into providers of EV salary sacrifice, not all companies offer the same brands, models, and time options.
At EZOO, we specialise in offering a premium range of electric vehicles, including Porsche, BYD, Tesla, and even Lotus cars. Others like Octopus EV and Love Electric may have broader or less specialised selections.
Due to this, it’s important to ensure the provider you choose offers vehicles which meet your needs and priorities – be it fuel efficiency, luxury models, or visuals and aesthetics.
What are the EV Salary Sacrifice contract terms?
One of the key variables to consider when selecting your EV is the terms and salary options available. The cost of the car and the savings you benefit from is usually based on the tax band you’re in.
Longer-term contracts can reduce monthly payments but also require a larger commitment period and may not be available to those on probation periods. In contrast, shorter terms are often preferred for flexibility.
What are the salary requirements for Salary Sacrifice?
When choosing an electric vehicle for salary sacrifice there will be different minimum salary requirements which must be considered. This is to ensure affordability and compliance with tax regulations.
Most companies offering salary sacrifice do a good job of making their EV schemes accessible for all income brackets, but there are differences.
EZOO for example allows employees earning £30,000 per annum or less before deductions to participate, and the same goes for Octopus EV.
Love Electric however requires a minimum of £25,000 before deductions per annum and you must maintain over £20,000 after deductions.
Salary options will be similar across providers but they will vary slightly so must be considered for maximising affordability and getting the package best for your needs.
Book a call with one of our experts for more information.
Are there additional benefits for getting a car via Salary Sacrifice?
Beyond the terms and salary options a company provides, some have additional benefits which are worth considering as this will impact your experience with electric vehicle salary sacrifice.
Some noteworthy additional benefits include:
EZOO
EZOO is a family-run business. This alone comes with a host of benefits in that you deal with people who really care about the personal level of service they provide.
We also offer a fully managed service including insurance, maintenance, road tax, and more, all in a single bundled payment which makes car ownership easier and lowers stress.
We have a large focus on premium EV models such as Tesla, Audi, and Polestar offering several models which you won’t find available through other providers.
Octopus EV
Octopus EV is a large corporation branching from Octopus Energy. They offer a range of EVs for various budgets making them a possibility for mid-range customers.
They include access to Octopus Energy tariffs to combine home charging solutions for your EV.
Similar to EZOO, Octopus EV has options to include services such as maintenance and insurance within your package.
Love Electric
Love Electric focuses on reducing leasing costs rather than the Premium models offered by EZOO.
They highlight flexibility with shorter-term contracts than some providers.
Electric Car Scheme
Electric Car Scheme provides calculators for costs and savings making their options easy to understand for those on tight budgets.
They prioritise accessible EV options, similar to Love Electric.
What electric cars are available to me via salary sacrifice?
The range of electric vehicles available will vary between providers and your desired contract duration, budget, and so on.
You can view our complete list of premium EVs available for salary sacrifice here.
Can I end my EV salary sacrifice contract early?
Early contract termination will require repayment for the time remaining in your term. To find out more, please read our terms and conditions.
How much does it cost the employer to set up an EV Salary Sacrifice scheme?
With EZOO, it’s completely free for your employer, and our EV salary sacrifice scheme helps companies save on tax contributions, attract top talent, and promote Net Zero goals.
You can refer your employer here to get started with your first EV through salary sacrifice.
Will I need a credit check to get a car via Salary Sacrifice?
During the sign-up process companies such as EZOO will do an affordability check when you link up your bank account.
This is not a credit check, and won’t affect or leave a mark on your credit score.
Other providers may vary, so make sure to check this if it’s a concern before entering your information.
Can I purchase the car after the term?
At the end of the term, you will have the ability to renew, or end your contract and move on.
Renewing your contract is a fast, easy process so be sure to contact us towards the end of your term.
Purchasing the car at the end of your term is not currently an option, so if you don’t wish to renew, the car will be picked up and returned as agreed in your contract.
We ask that you ensure your car is in the same condition we delivered it to you – clean, charged to at least 50%, and free of any personal items.
At the point of collection, a member of our team will undertake an inspection of the car, to ensure everything is in order.
This appears to be a very obvious comment considering that consumers and business owners do their utmost to control their policies, as they know that if they make a claim their premium will increase upon renewal.
The insurance industry in the UK is long overdue for a complete overhaul, it is an industry that is reactive rather than proactive, and is quite happy to rely on the status quo.
This is very similar to the traditional automotive industry, which is now on the verge of being overtaken by the Chinese OEMs entering the UK market.
The background of the automotive insurance industry
The Insurance Industry appears to take direct aim at EV’s being responsible for the rise in cost of premiums, citing EV repairs being more expensive than traditional ICE cars.
Yet the facts highlight the following attributes lead to more claims than the number of accidents and damage involving EVs, such as:
The theft of ICE cars (particularly Range Rovers)
Young drivers involved in accidents
Expensive parts such as catalytic converters being stolen by thieves
As a direct result of these mis-aligned reports of EVs being expensive to repair, the scaremongering is leading to consumers being further led astray by traditional car dealers who push ICE car sales rather than highlighting the benefits of zero emission electric cars.
This will partly be addressed by the Chinese OEMs who will bring lower priced EVs to the market which will be in direct price comparisons to ICE models hence, making the ownership of EVs much cheaper than ICE cars.
Meanwhile, the insurance industry must go back to the start to reimagine the future with fresh thinking to align its offering with today’s consumers and their requirements.
Flexibility is the key, they need to step into the present to get into a world where consumer requirements, digital operation, speed of action, and flexibility are all entwined with being proactive in an ever changing industry.
What is increasing insurance costs?
One of the biggest drain on resources and hence the root cause of the policy cost can be attributed to the time it takes for insurance companies to settle claims.
This has been a problem for insurers, and indeed consumers, for some time, since many claims rely on circumstantial evidence and witness accounts.
But how can this be remedied with EVs?
We believe there are several ways this can mitigated by the increase of EVs on our roads for several reasons:
The use of OEM vehicle data and after-market telematics – this can help to determine accident fault and would decrease the time taken to settle claims.
On Street Connected Data centres – the UK has one the world’s best surveillance systems and is connected in every way, from traffic light automation to CCTV on virtually every corner.
First Notice of Incident/Accident reporting – this could be stipulated in the policy and failure to report with a given time would lead to failure of the claim.
The above would allow the insurance industry to move into the 21st Century and be in the same space as today’s consumers and businesses.
This lengthy paper highlights that the progress is not happening fast enough in part due to the misinformation in the market about EVs and the anxiety that consumers face as a result of unfounded concerns about safety, reliability and affordability.
The committee has called for the Government to do more and do so quickly, which puts the onus back on the Private Sector, one of which is the Insurance Industry who should take the bull by the horns and push forward with decisive action.
The first move should be to digitise the insurance policy allowing customers to report accidents via their mobile phones, to allow every policy to have a digital link that the customer could have in their phone as a contact allowing them to call, and text or email send images of an accident.
This one action alone would have a tremendous effect for the insurance sector as would have a chain reaction as follows:
Make the customer interactive in the accident claim process rather than being a by-stander and completing endless forms and statements
It would speed up the process for claims for the insurer
Reduce the time to settle claims
Reduce the cost of premiums
Improve customer satisfaction levels
At EZOO, we deal with all of the car subscription insurance to ensure the customer doesn’t need to deal with the hassle that comes with it.
As an EV driver, it’s important to become familiar with charging stations in your area. We’ve put together a list of our favourite apps to help you do just that.
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