Luxury and performance EVs

Will sports cars like the e-tron GT continue to sell?

The advent of performance cars in the EV sector brought about some significant enthusiasm from a new branch of customers. In dispelling the myths that electric vehicles were boring, slow and unattractive, cars like the Audi e-tron (pictured here), the Porsche Taycan and the Tesla Roadster clearly demonstrate what is possible in terms of design, engineering and performance.

What surprised many UK customers was the blistering 0 - 62 times which these vehicles offered; many EV’s offer sub 5 second 0 - 62 times. In the world of combustion, only a smattering vehicles are able to match this type of performance and it is often for significant cost and with far from frugal consumption. In contrast, many of the performance EVs are able to offer robust ranges of 200 - 300 miles on a full charge (weather and driving style) and on competent and responsive platforms.

Without a doubt EVs are far more practical and comfortable in supercar format compared to combustion alternatives like Ferrari, Lamborghini and even Porsche. And let’s not forget that for business owners using business contract hire to procure their vehicles, the 2% Benefit in Kind (BiK) on a zero-emission vehicle creates a financially robust scenario where the tax advantages of contract hire can be enjoyed (ie.. offset rentals against corporation tax) but the driver is not subject to onerous personal tax (company car tax).

Even for the car shown, the e-tron GT, a 40% tax payer would only pay around £60 per month in BiK tax on a standard car! Compare this to a combustion supercar and you would be paying anywhere from £1000 - £2000 per month in tax alone.

However, the transition to an all-electric future by 2035 is not without its challenges and issues. In a recent article by the RAC  , the cost of public charging was identified as just one obstacle. In an industry impacted by COVID, Brexit, parts and microchip shortages, the position of decreasing discounts coupled with increased prices has not met the energy price increase with enthusiasm.

Will electric car drivers be hit by the rise in public charging costs?

As we have all noted, the last month has been littered with reports of escalating gas and electricity prices - the Energy Crisis - which will not only increase the cost of living but for EV drivers, has a real impact on affordability and running costs. What is probably worth noting from the outset is that very few companies actually advertise the charging costs or they will use the overnight tariffs which companies like Octopus Energy offer.

In contrast, at e-car lease we do include a charging cost calculator for personal and business leasing customers, so that a fair and honest cost can be attributed to this key running cost (which we believe will form part of the decision to transition to an EV). What is also useful, is that because e-car lease use a “real range” rather than a best case scenario, the cost per mile we show is far more accurate. This allows those companies, or individuals, comparing electric vs combustion to make a more informed decision. For example, see below:

Cost of charging an Audi e-tron on a 34p/kWh tariff

As the RAC article explains there is now a cost of around 19 per mile for petrol and 21p per mile for diesel, which is based on a driver operating at 40 miles to the gallon. The challenge for cars like the e-tron GT will be if the cost per mile becomes equivalent of a combustion option and with EVs generally costing more to purchase or lease, the arguments to make the transition may be weakened with certain customers and fleets.

But it is probably worth just clarifying that the costs of charging are often centred around public and destination costs, as opposed to those charging at home and on domestic tariffs. Where possible, we do suggest that our customers organise a charge point solution at their home, so long as this is practical. Of course for those customers without off-road parking or in shared accommodation, we do appreciate that it is not always possible.

Where a customer does need a charging solution and their property is suitable, we have made it so easy to organise a charging solution - simply tick “Yes” to our “help with a charge point solution” and you or the business will be introduced to either Rightcharge   or in cases of more complicated commercial setups, you will be introduced to Raw Charging .

Both these charge point businesses can assist you with your charge point infrastructure. And for the diligent among you, our website does show the charging power of your new EV in both AC and DC format, so that you select a charge point which best meets the needs of your vehicle.

When charging at home, early reports suggested the ongoing energy issues could lead to high tariffs, with even Ofgem confirming that a 52p per kWh would be put in place instead of the existing 28p per kWh currently in place.

Average price cap rates - customer with typical usage, paying by direct debit   

But in recent changes by the UK Government, their Energy Bill confirmed that the average unit price for dual fuel customers on a standard tariff would be limited to 34p per kWh. At this rate, for those electric car drivers utilising domestic charging, the reality is that the cost of “fuelling” your EV is still cheaper than a petrol or diesel equivalent. Plus, for those customers with renewable energy solutions, like solar panels and battery storage, much of their charging costs can be incorporated into the solution. It is probably worth clarifying that many EVs do have different battery sizes, range and efficiency. As shown in our e-car lease comparison tool  the energy consumed will vary according to the car, specification and the conditions (driving and temperature).

In contrast, public charging at service stations, petrol stations and key destinations will charge higher prices for their solutions; this is no more evident when rapid charging (DC) solutions are utilised. Companies like Osprey, MFG EV Power, InstaVolt, ChargePoint and Gridserve are common company brands.

As the RAC explain, these pay-as-you-go options have seen continued increases, with there now being an average charge of 63.29p per kWh. What does not help this endeavour is that the public charging is subject to the normal rate of Vat, currently 20%, in contrast to the 5% on home charging.

The Faircharge campaign  is now bringing businesses and industry ombudsman together to help instigate Government changes. And this has been a consistent theme in the “EV Report - Summer 2022” from Mina who have discovered a discrepancy with the lowest public charging at 30p per kWh compared to the highest at £2.77 per kWh, with a 19% rise in the last two years. For customers without access to home charging there are concerns that the viability of zero-emission could be challenged if this cost obstacle is not overcome.

And something which is somewhat evident, and which all of the reports do not highlight, is that there is a lack of understanding about the charging speed of the charge point (and its corresponding cost) and the charging capacity of the car. For example, on the e-car website our “battery & plug type” part of the “living with your ..” tools do show you the AC and DC charge power. While some manufacturers do allow you to upgrade your charging power (speak to our team before ordering your new EV), the standard vehicles will be shown on our website.

To be clear, the DC charge power is the maximum the EV can utilise, so if you plug into a more powerful charge point, this will not make the process any quicker. While the e-tron shown here can charge at a whopping 268 kW DC (for 17 minute 10 - 80% charging times), there are many vehicles with 50 - 150 kW DC capabilities. Public charge points will often consist of a number of points which vary in their power i. 50 / 150 / 350 DC and this will also influence the cost of charging. Generally, the more powerful your charge point, the higher the cost per kWh will be.

For uneducated drivers, there is a risk you pay more for your charging experience by using unsuitable charge points. This is why every EV you order with e-car lease will come with an Energy Performance Certificate to prevent this from happening to you or your company car drivers

Audi E-TRON GT SALOON 390kW Quattro 93kWh 4dr Auto [Comfort+Sound],

In terms of the car shown, the Audi E-TRON GT SALOON 390kW Quattro 93kWh 4dr Auto [Comfort+Sound], this is based on the following configuration:

•  Suzuka grey Metallic Paint
• Twin leather - Black
•  20" aluminium alloy wheels in a 5 twin spoke design in platinum look
•  Graphite grey paint finish inlays
• 3 spoke sport contour leather flat bottom heated steering wheel, multifunction plus including energy recovery paddles
•  Mode 3 AC charging cable

What is the range of the e-tron GT saloon?

What is the battery capacity and charging speed on the e-tron GT saloon?

How long does it take to charge the e-tron GT saloon?

What is the company car tax on the e-tron GT saloon?

Where can I charge the e-tron GT saloon?