According to analysis from Carbon Brief, the recent rise in fossil fuel prices has made it up to nine times cheaper to drive an electric vehicle (EV) in the UK compared to petrol or diesel cars. Since February, the average price of diesel has risen by 38% to £1.96 per litre, influenced by geopolitical tensions, including the US's actions in Iran and attacks on oil refineries in Russia. Petrol prices have also increased by 31% to £1.72 per litre, with some areas nearing £2 per litre. These price hikes are attributed to oil prices exceeding $100 per barrel amid escalating conflicts in the Middle East.
Driving a diesel car now costs approximately 21p per mile, while petrol costs about 20.1p per mile. In contrast, charging an EV with an off-peak tariff costs around 2.3p per mile. Even when charging at the domestic price cap, the cost remains about 7p per mile, significantly lower than petrol or diesel costs. The price cap for electricity is expected to rise slightly in October, but the increase is primarily for gas, with electricity rates anticipated to rise by less than 1%.
UK drivers could save around £80 by charging an EV at home compared to filling a petrol car. Despite higher running costs for petrol cars, they still represent 55% of vehicles on the road, while fully electric cars account for 6% and plug-in hybrids for 3%. However, sales of EVs are increasing, with 30% of new cars sold in August being battery EVs, up from 26.5% in August 2025. Previous analysis indicated that UK EV drivers were saving £1,100 annually in fuel costs compared to petrol drivers, with current savings now estimated at £1,200. Charging an EV at home remains significantly cheaper than petrol, even with public charging costs being higher. The UK government plans to introduce a pay-per-mile tax on EVs in April 2028, which would add 3p per mile to the cost of driving an EV, but EVs will still be cheaper to operate than petrol or diesel vehicles.