Your Definitive Guide to Used-Electric Car Leasing as a personal customer

Used-Electric Car Leasing as a personal customer - Your Definitive Guide

Should I lease a new or used car?

This fairly simple, but pertinent query, is not a new one in the UK. For many years the quandary between a new or used car has been a topic which many retail and consumer customers have faced. Whether or not this is a purchase or lease situation, you do have a number of factors to take into account.

Ultimately this is a personal assessment, with no real best or worst outcome. While many tales in the pub suggest that everyone is an expert at buying / selling cars; the truth is often something completely different! With the UK’s electric car industry only just starting to become more mature, having launched into mass-adoption around 2020, the conundrum of a new or a used electric vehicle is only a recent submission to this ongoing debate between motorists.

Whether you lease a new or used EV, you are undertaking a finance product called contract hire. Much like the name suggests, this is a contract to hire a vehicle over a long term (generally 12 months - 60 months). The underlying notion is that you will never own the vehicle; you cannot buy it nor can you sell it.

This is dramatically different from the commonly used hire purchase and contract purchase products, which are very much centred around some form of ownership or sale. With a lease you use the vehicle under the terms of the contract and then arrange for this to be collected at contract cessation (subject to an assessment).

The price you pay per month in contract hire is based around your annual mileage (5,000 - 40,000) and the initial rental / deposit you make. Each contract is bespoke to your individual requirements, as everyone has different circumstances.

Setting your contract at an appropriate mileage and term is crucial, as there are certain penalties if you do not adhere to the terms and conditions. For example, if you return the vehicle with mileage in excess of the contract, you will pay an excess mileage fee (shown as pence per mile).

However, if you return the vehicle under mileage, there is no rebate or gratuity paid from the finance company to the end user. In addition, if you set a term for a longer period to make the contract payment lower, if you do wish to exit the contract you will pay an early termination fee (often half of the remaining rentals).

So if a usership contract and approach is your preference on an EV, the next consideration is whether or not to go new or used. With a new vehicle, the real benefit is that you are enjoying a vehicle which no one else has driven and the vehicle you are utilising is the latest and most updated version.

Many electric cars are updating rapidly with charging times, ranges, efficiencies and specification improving all the time. With hefty targets on manufacturers to adhere to the terms of the ZEV Mandate, the discounts and deals on new EV leasing often makes this much more cost-effective than like for like petrol and diesel vehicles. However, with our sister company, CarLease UK launching a  used electric lease  programme there are other aspects to now take on board.

With a used-EV lease, the big benefit is the cost. On a like for like comparison between a new and used EV there are often big cost savings. As a PCH customer does not receive the same tax breaks and benefits of a limited company in the UK, it is often the price per month which is most important to them. With our underlying finance company Lex supporting the programme, there are some great benefits to note:

• Shorter term contracts - you can choose a 12 or 18 month contract to minimise your exposure / try an EV for a more flexible period;
• Stock - all of the vehicles are in stock with the auction agent. You can receive your vehicle in around 2 weeks form the point of order;
•  Suitability  - full pictures, including the imperfections, are available for your review.
•  Maintenance - all of the vehicles include a FULL package to cover the cost of all servicing, maintenance, tyres and breakdown recovery. Just cover the insurance and charging costs; and
•  No deposit - minimise your costs and exposure, with no capital outlay required at the outset.

The new Renault 4 electric car lease offer

Vehicles like the upcoming Renault 4 will be setting the standards for the used-EV leasing programmes of the future. The French automotive manufacturer are the talk of the town, having launched their new Renault 5 hatchback into the UK at the end of February 2025. The  Renault R5 lease deals  are already some of the hottest March 2025 deals for brokers and the team are not easing off the gas (excuse the pun).

The manufacturer is now launching a bigger version of this hatch in the form of the Renault 4 “liberte 4 ever” model for later in the year. Some way ahead of the previous version, a R4 Quatrelle, the compact SUV is aiming to provide a cost-effective and affordable family car. This is clearly aimed at the personal leasing market who are acting more astutely.

The team at Renault are bringing some substance to the new Renault 4 EV by upgrading the legendary 4 model via a signature front grille with round headlights, 3-part rear lights, LED light technology, rear panel quarter window, sculpted door sills and emblematic roof design.

The boot is based on size and practicality, with a boot capacity of 420L and a loading height of 60.7cm. When you fold the seats down this increases to 1405L. As an SUV you will enjoy better ground clearance with the 18” alloys and 18.1cm translating in more optimal traction.

The 4 e-tech will also feature a plein sud™ Technology is key with the 2 x 10” digital dashboards, built-in Google navigation and voice control. To make your Renault 4 even more special, you can add bespoke accessories and additions, like the central organiser or the personalised e-pop shifter. The SUV will also include intelligent cruise control, active driver assist, emergency braking and hands-free parking.

But how does the Renault 4 e-tech SUV perform?

As per the below:

•  40kWh 120hp  from £24,000 this FWD has a usable battery of 40kWh which offers 90kW (121hp), top speeds of 93mph and 0-62 times of 9.2 seconds. Real-world ranges suggest a combined 125 miles in colder weather with warmer temperatures to allow for 175 miles (on a full charge) – 150 miles combined . The 11kW AC allows for 0-100% charging times of 4 hours and 30 mins with the 80 kW DC enabling 10-80% in 32 minutes. The EV has Bidirectional capability - the V2L will offer 1 exterior port for 3.7kW AC output. It has a 152 mpg equivalent, 420L cargo volume and towing capacity is 750ks (Braked) and (Unbraked). The Heat Pump will be standard on the Renault 4; and 

•  52kWh 120hp  from £28,000 this FWD has a usable battery of 52kWh which offers 110kW (148hp), top speeds of 93mph and 0-62 times of 8.2 seconds. Real-world ranges suggest a combined 165 miles in colder weather with warmer temperatures to allow for 225 miles (on a full charge) – 195 miles combined . The 11kW AC allows for 0-100% charging times of 5 hours and 45 mins with the 100 kW DC enabling 10-80% in 33 minutes. The EV has Bidirectional capability - the V2L will offer 1 exterior port for 3.7kW AC output. It has a 152 mpg equivalent, 420L cargo volume and towing capacity is 750ks (Braked) and (Unbraked). The Heat Pump will be standard on the Renault 4.

Need more help and advice on your new Renault SUV for 2025?

Head to the Renault brand website to build your perfect option  or just get in touch with our team on 01942 910 001 or by emailing us at [email protected]