Everything you need to know about the electric vehicle salary sacrifice scheme in one place. Have every question answered in this extensive guide...
Congratulations! Your company has signed up with loveelectric. It’s time to see those sweet, sweet carbon savings roll in and your employee retention increase. But how do you ensure your employees are excited and get involved?
Introducing a new employee benefit is an exciting position to find yourself in. Not only do new benefits keep your employees happy, but they also put you in a competitive position when attracting new talent.
In this article, we’ll cover the ins and outs of successfully rolling out loveelectric’s green employee benefit to your employees. Getting your employees behind the wheel of an electric car is our highest priority – so let’s work together to put your employees in the driving seat.
Want to learn more? See how EV salary sacrifice helps boost a company’s employee retention and attract the best talent. Plus, it helps pave the way towards your business becoming net zero. Get started for free here.
Say hello to your new favourite employee benefit. Through our electric car salary sacrifice model;
All with our completely cost-neutral benefit.*
Similar to the popular cycle-to-work scheme, your employees sacrifice a small amount of their salary in return for up to 60% off a brand new electric car.
Find out how your tax band affects the savings you’ll make
Critically, implementing our green employee benefit gives you the pick of the most talented employees. More than ever before, employees care about what their employer values – and your business needs to walk the talk. 71% of Millenials and Gen Z’s consider climate change the greatest challenge facing their generation, and 44% of Millenials and 49% of Gen Z’s have made choices about what work they do, and whom they do that work for, based on their values.
Transitioning to a fully electric company car fleet is one of the best ways to dramatically cut your company’s Scope 3 emissions. With zero emissions by tailpipe, each fossil-fuel car you replace with an electric one is a big step towards your company’s sustainability goals.
Implementing loveelectric’s green employee benefit shows that your company is ready to take real action as a climate-conscious company – leading to happier, more engaged and motivated employees.
Learn more about the perks of green employee benefits
But your company won’t realise these benefits unless your employees know about loveelectric and understand how it works. We have set up our onboarding process to make sure you make the most of the initial excitement and get employees engaged.
Through two essential emails - the Welcome email and Next Steps email - we’ll lead you step-by-step through a successful rollout.
*loveelectric is cost-neutral for the employer. We bill the employer a 1.5% admin fee on the net cost of each EV – but this small fee is offset by the employer’s National Insurance Contribution savings, so you won’t be out of pocket a penny for running the benefit.
You’re convinced: loveelectric is the right way forward for your company. With your new sustainability strategy rolling out across the business, the pressure is on to transition to ditch diesel and switch to electric company-wide. Luckily, learning about loveelectric’s EV salary sacrifice benefit has left a smile on your face.
With a simple application - you’re all set. So what happens next?
Luckily, everything you’ll need to do is captured in our Welcome and Next Steps emails. Landing in your inbox shortly after signing up, these two emails will take you, step by step, through the entire onboarding process – so make sure you keep your eyes peeled!
The first – and most crucial – thing for you to do is to attend one of our weekly onboarding calls. This is a quick, 15-minute webinar run by one of the delightful loveelectric team members. They’ll give you a tour of our app from both the employee and company side, explain how to update payroll and take you through the essential aspects of the scheme. This allows you to run the scheme successfully for your company.
This call is so important that we suggest that anyone involved in administering the scheme should join: HR representatives and any payroll and invoicing staff. It will also give you the opportunity to have your questions answered live – so have them ready and make sure to come along!
We are often asked about lead times and early termination obligations on these calls.
As an independent ‘neo-broker’, we constantly scan the market for the best prices from the top leasing companies, and our network of 300+ dealerships across the UK means we have the fastest lead times on the market. This means that we frequently have in stock, ready-to-drive cars available. When you sign up, please ask one of the loveelectric team to send you the latest list of in-stock cars so your employees can start driving electric as soon as possible.
When implementing a new employee benefit, we know that mitigating the risk to your business is top priority. That’s why we’ve ensured our market-leading early termination protection policy offers maximum cover - easing the stress for you and your team. The table below covers the key information about our cover.
Read more about our market-leading early termination protection
The Welcome email will also give you your first peek at our app. It’s the space where your employees browse cars, receive bespoke quotes and place orders. Your unique ‘magic link’ grants access to the app for the company, so make sure you store this email safely. Simply click the magic link to get started!
Once you’ve attended the onboarding call and had a peruse, another email will arrive in your inbox. This includes everything you’ll need to start reaping the benefits of loveelectric’s EV salary sacrifice benefit.
With all of the formalities out of the way, it’s time to turn the focus on getting your employees engaged and excited about the prospect of an affordable electric car.
Shortly after your onboarding call, you’ll receive the Next Steps email. This information goldmine is brimming with marketing materials, examples of how to promote the benefit to your employees, case studies, and more.
You’ll also learn about our weekly Lunch and Learn sessions. These sessions allow employees to learn more about loveelectric, have their questions or concerns answered during a live Q&A, and learn all they need to know about how the perk works. Led by our Customer Success team and EV Experts, these are essential for anyone curious about how to get started with the perk.
But where do you get started? Below, we outline some ideas and best practice tips about how to distribute the information to your employees.
Your employees won’t know about loveelectric’s EV salary sacrifice perk if you don’t tell them about it! Utilise online workspace like Slack, Yammer and Microsoft Teams. Include it in your regular company newsletter. Even a flyer on the notice board in your break room. Sharing the information directly with your employees is the best place to start.
What to include in your message:
If your company has a sustainability or green team, they should be your first port of call for introducing loveelectric’s employee benefit to the business. Our benefit directly impacts your company’s CSR and ESG goals – so getting your sustainability team excited about the new benefit will ramp up engagement from the get-go.
Introducing loveelectric’s perk through your sustainability team will reinforce that your company is making impactful steps towards becoming a climate-conscious company. It will also give the benefit a human face, making it seem more approachable and accessible.
If you’d like to learn how we can support you with this sort of approach, please get in touch with our team!
Telling the world about partnering with loveelectric is a fantastic way to spread the word far and wide that you’re on the path towards becoming a climate-conscious company. One way to do this is by recommending a post to your employees on LinkedIn.
Once you’ve made the post (check out the Next Steps email for some example posts!), simply hover over the three dots to the right of the post and click ‘Notify employees’. Simple as that!
Great news loves great people – so make sure you’re sharing stories about loveelectric drivers in your company! In our Next Steps email, you’ll find a brochure with some of our driver testimonials to distribute. What’s even more powerful though? Social proof. We encourage our partners to ask drivers to share the experience of getting their new EV with team members.
Whether you include an interview in your company newsletter, open a #loveelectric channel in your Slack, or ask the driver to share about the experience at the next company stand-up, showing engaged and excited drivers is a compelling route to activating the retention and sustainability perks of the benefit.
Make sure you have full buy-in from your senior leadership team, too. Many of our partners offer electric cars to their senior leadership team first. If so, it’s likely the first electric cars in the office car park arrive around the same time the benefit is launched to the broader company.
After you’ve put the time into researching EV salary sacrifice benefits, spoken with numerous business development teams and finally made a decision to go with loveelectric - there’s nothing more frustrating than not seeing employees engaging with the perk!
Many people need to hear about a benefit multiple times before it sticks. Make sure you plan to communicate about loveelectric at regular intervals – and on multiple channels. Use some of the ideas from this article in your plan, and you’ll be sure your colleagues know everything they need about loveelectric.
We’re here to help. If there’s anything you’d like support with in rolling out the benefit, don’t hesitate to reach out. We can host exclusive Lunch and Learn sessions for your company, offer our EV Expert’s personalised advice, provide additional marketing materials and even work with you to develop new features on our app.
Ready to join the electric revolution – and have more happy and engaged employees? Join our next webinar to learn how to get started for free!
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Taking out an electric car lease via salary sacrifice is the most cost-effective way of getting behind the wheel of a zero-emissions vehicle.
There’s no upfront deposit. Insurance, maintenance and servicing is included. It’s completely hassle-free.
Due to the way salary sacrifice works, the amount you can save on a lease is directly affected by your salary and subsequent tax bracket.
Whether it be 20%, 40% or 45% - we’ve outlined some examples of what each tax bracket means for you and how much loveelectric could help you save on an electric car lease.
Regardless of your tax bracket, our employee benefit is a “no-brainer” - not our words - but one of our hundreds of happy motorists. Why not join them and get on the road for up to 60% less?
At loveelectric, our salary sacrifice scheme is just like the cycle-to-work scheme – but for EVs. Employers lease a car on behalf of an employee via the company and, each month, the employee pays for the lease using a portion of their gross salary.
In return, employees drive away in a brand new, fully insured, electric car.
When employers offer their employees a benefit in place of monetary compensation, HMRC implements a tax on that benefit - the Benefit in Kind (BiK) tax. With company vehicles, the value of this tax has been directly linked to the CO2 output of the vehicle.
During 2020/21, the BiK rate for all-electric and hybrid vehicles (producing between 0-50g/km CO2) was 0%. However, with electric cars booming in popularity, HMRC introduced a 1% BiK rate in 2021/22. This increased to 2% in 2022, where it’ll remain until 2025 before rising by 1% year-on-year until 2028.
This incredibly favourable BiK rate ensures electric cars will be an ultra-low cost, environmentally conscious solution for employees and employees alike for years to come.
It’s important to note that Scotland’s Income Tax structure differs slightly to the rest of the UK. We’ve outlined the tax brackets below and will be using the England, Wales & Northern Ireland tax rates for demonstration purposes. However, due to the marginally higher tax rates in Scotland, the savings available via salary sacrifice will be greater.
So - even better news for our Scottish readers. Why not start your EV journey now?
Otherwise known as the Personal Allowance, any income up to £12,570 isn’t subject to taxation. Once you earn over £12,570, any income above that figure is subject to different taxation bands of which we outline below.
If an employee is over 23 years of age, then they’re entitled to the National Living Wage - currently £10.42 per hour. If we assume a full-time working week of 37.5 hours and a standard 52 week year, that would be equal to a salary of £20,319 per annum.
We are bound by law to restrict anyone taking out a lease that would bring their pay below National Minimum Wage – so you’ll never take out a lease with us that would drop your annual salary below £20,319.
This mechanism is built into our product from the first instance. When a company signs up, employees get access to the loveelectric app, where they can browse our entire stocklist and place an order. The app automatically filters makes, models and contract options that do not meet the National Minimum Wage criteria for the designated salary. That way there’s no disappointment - anything you can see in-app is available to order.
Due to the National Minimum Wage requirements, we strongly recommend drivers have a minimum annual salary of £27,000. This allows the choice between a few different vehicles as well as the ability to accommodate the necessary gross salary deduction.
This salary range puts an employee in the 20% tax bracket, where savings range from 30% to 50%.
Here’s an example of someone who earns £40,000: that’s just above the UK average salary for a full-time role of £38,181 (ONS, 2021).
Want to save like Simon? Get started here.
Once income exceeds £50,271 it becomes subject to the 40% tax rate, savings for an electric car lease in this bracket range between 40% - 60%.
Let’s have a look at another example - this time for one of our most popular electric cars, the Tesla Model Y.
Here’s a detailed rundown of a 36 month lease term with a cap of 10,000 miles per year, for an employee in the 40% tax bracket earning £55,000 per annum.
As demonstrated, the standard lease cost for a Tesla Model Y is £889. However, if you were to take a lease out with loveelectric via our employee benefit, the net price is only £450/month - illustrating a 59% saving.
Fancy a Tesla Model Y for only £450/month? Get started here.
This monthly price includes; servicing and maintenance (including tyres), fully comprehensive insurance (with the option to add another named driver at extra cost) and roadside assistance/accident management for if the worst is to happen.
Most importantly, our lease prices aren’t artificially inflated. Some salary sacrifice providers charge double rent for the first 6/12 months, passing the cost of early termination risk onto the driver. With loveelectric, the monthly price is the same across the entirety of the lease - no nasty surprises.
To qualify for the maximum saving with loveelectric, an employee must be in the 40% tax bracket and earn between £105,000 - £125,000. They must also be paid via PAYE.
loveelectric’s electric car benefit allows employees to get a huge discount on a lease thanks to tax savings. As the saving is based on a combination of their tax bracket and annual income, there’s a so-called ‘sweet spot’ - whereby the savings on a lease are maximised. With the inclusion of fully comprehensive insurance, this can be around 64%.
Once an employee’s adjusted net income is above £100,000, the Personal Allowance decreases by £1 for every £2 the salary is over that threshold. In practical terms, this results in a Personal Allowance of zero for an income of £125,140 or above.
With the tax-free Personal Allowance dramatically reduced once a salary reaches over £100,000, loveelectric’s employee benefit is a great way to maximise savings. By taking out an electric car lease with loveelectric, the gross deduction brings the employee’s salary down enough for them to qualify for the tax free allowance again. This maximises their net take home pay, whilst accommodating the lowest price for an electric car.
In the income ‘sweet spot’? Getting an electric vehicle is a real no-brainer. Get started here.
Let’s have a look at another example.
The net cost for the lease is only £303 per month, demonstrating a huge 64% saving from the original lease price. The net figure of £303 is the deduction Jennifer will notice in her take-home pay.
For those of the estimated 321,000 people in the UK to be earning more than £150,000 per annum, their tax rate is 45%, resulting in a saving of between 45-50% on an electric car lease.
Let’s imagine that Jennifer had a pay rise and began earning £155,000 per annum.
Do bonuses/commission pay-outs affect my savings?
Yes. However, when browsing for an electric car with loveelectric, we recommend entering a conservative salary estimate. It’s better to be pleasantly surprised by a large commission and a reduction in the net cost of your lease, as opposed to a dry-spell and see your basic salary stretched.
What’s the difference between net price and gross cost?
Net price: The net price is the cost of the lease once Income Tax and National Insurance Contributions have been taken from your monthly pay. This figure is determined by your salary and tax bracket. The net price figure is essentially how much your take home pay will be deducted by, after entering the lease agreement.
Gross cost: This is the standard lease cost for the electric vehicle. This figure is taken from your monthly wage pre-tax, which then determines how much Income Tax and National Insurance Contributions is due on the remainder of your gross salary.
Can I access the scheme if I’m self-employed?
Unfortunately, the loveelectric employee benefit is only available to employees paid via PAYE.
With the dawn of a new year comes one of our favourite modern traditions: the ‘in’ and ‘out’ comparison.
Our contribution for 2023?
Out: Fossil fuels
In: Electric cars
We’re not dreaming: the electric revolution is gathering momentum. In December of 2022, EV registrations in the UK – for the first time – outstripped petrol and diesel cars. So, whether you’re looking for the best innovation in motoring, to reduce your impact on our environment, or you simply want a fantastic driving experience, going electric is a no-brainer.
Electric vehicles (EVs) have come a long way in recent years, and 2023 is shaping up to be one of the biggest yet. With more models on the market than ever, enviable ranges, and more affordable prices (and even more so with an EV salary sacrifice employee benefit), it's an exciting time to be in the market for an EV. New all-electric offerings coming this year include the Polestar 3, alongside electric cars from Volvo, Ford, Rolls-Royce, Bentley and more.
But with so many options available, it can be overwhelming to know where to start. So, if you’re in the market for a new car and considering going electric, look no further. Here are the top five electric cars gracing UK streets in 2023.
Ready to make the change but looking for the most affordable way to go electric? Look no further: loveelectric’s employee benefit can save you up to 60% on your new EV lease through salary sacrifice. Learn more about how you can get involved!
Introducing the (soon to be) hottest electric car of 2023, the Genesis GV60. The self-professed “future of luxury mobility”, it’s no secret that the GV60 will boast top-of-the-range performance and specs that will make even the best EVs jealous.
While Genesis is no newcomer to the SUV scene, this is the manufacturer’s first foray into the electric car world. At its top range, the GV60 will reach 0-60mph in just 3.7 seconds with 483 horsepower rushing you along. Enjoy each of the 248 miles of range your new GV60 offers at the pace you love.
The Genesis GV60 only recently hit UK shores but is already making a splash. This is the brand to watch and the GV60 is the car to drive.
Get access to the best Genesis GV60 deals in the UK: Available now -sign up for our green employee benefit to get up to 60% off.
Rivalling Tesla’s industry-leading power and range, the Polestar is a serious competitor: and we think it has the chance to creep ahead this year with the launch of the Polestar 3.
The Polestar 2 was all about power, luxury and style. This year, the Polestar 3 will start rolling onto driveways – all power, all style, but this time wrapped up in a shiny SUV exterior.
And this SUV is ready to close the lid on any fears of range anxiety. With a massive range of up to 379 miles and a charge time of just 30 minutes, you’ll cruise to your destination without a fear in the world. Truly an SUV for the modern age.
Ready for the power? We loved the Polestar 2 for its spine-tingling acceleration, but Polestar has completely outdone itself this year. The Polestar 3 will reach 60 mph in just 4.6 seconds with an electrifying 510 bph maximum output.
The Polestar 3 is more than an electric car: it's a statement. It’s a symbol of the driver’s commitment to a sustainable future – and that they’ll do so in style. The Polestar 3 will turn heads wherever it goes, and the spacious interior and advanced technology will make every trip a joy. This is a car to get excited about.
Want to unlock the best EV prices across the UK? Get you company signed up with loveelectric - the UK’s best green employee benefit - so you can reap the EV salary sacrifice rewards.
Hang on, we hear you say: wasn’t the Tesla Model Y launched in 2020? Good catch, but we think it’d be remiss not to have the Model Y on our list with its rocketing popularity.
Launched in 2020, the Model Y quickly jumped to the top of the EV must-have wish-list. As a perfect balance between the earlier Model X and Model 3, the Tesla Model Y has, as a result, a luxurious cabin, sportscar performance and a 5-star Euro NCAP rating. It’s no wonder the Model Y was our most sought-after car of 2022!
So, why is the Model Y so beloved? It really is a case of 1+1=3: its versatility makes it a perfectly practical family car, while the impressive performance offers a true sportscar feel. For those Saturday mornings when you have to pack extra sports gear, each second-row seat folds flush, providing massive amounts of room for all-day activities. But don’t underestimate its power when you get to the open road: you’ll know why so many people are adopting the Model Y once you hit the accelerator.
The Model Y’s electrifying performance capabilities set it apart from the rest. With a top speed of 150mph, the dual motors launch the Model Y from 0-62mph in just 4.8 seconds. And with a massive range of up to 326 miles per charge, any concerns about getting where you need to go are quickly quelled.
But if you do find yourself in a grind, never fear: Tesla’s network of almost 1,000 Superchargers across the UK will make sure you drive easy, no matter how far you want to go.
Are you unsure whether you’d like to lease or buy your Tesla? While prices recently fell, leasing with loveelectric’s green employee benefit will see you saving up to 60% on your monthly lease.
Let us tell you about how our bespoke salary sacrifice is really as good as it sounds.
While we love all electric cars equally, it seems like a couple of manufacturers have really figured out the winning formula. We all know that Tesla has its bases covered, but Kia’s EV4 2023 is hotly anticipated following on from the award-winning EV6.
Don’t just take our word for it! The Kia EV6 was introduced to the UK with huge acclaim in 2022, taking home prestigious awards from WhatCar?, the Car of the Year Awards and Top Gear. With its sleek body and sloping roofline, this refined SUV is a jewel in the electric car crown.
Set to rival the Mercedes EQA and BMW iX1, the Kia EV4 will offer over 300 miles in uninterrupted cruising. The first of 14 new EVs that Kia is set to launch before 2027, the EV4 will be a large SUV and is rumoured to seat seven.
At loveelectric, we're committed to making the latest in electric vehicle technology accessible to everyone. The Kia EV4’s modern design, advanced technology and affordable price pitches it as the perfect choice for families who want to make a difference in the world while enjoying the comforts and conveniences of modern driving.
Learn more about our green employee benefit – and why our savings are as good as they seem.
When Elon Musk first conceived Tesla, he wrote a master plan. Split into four stages, the plan outlined his path to world domination making electric cars accessible to people across the world.
Unveiling plans for the Model 2, Musk has brought his third stage of that plan is coming into motion. Starting at just £18,000, the Tesla Model 2 is the culmination of the learning, technology and beauty of the S-3-X-Y lineup – at a fraction of the cost.
Okay, the Model 2 isn’t technically coming in 2023. But it’s safe to say that we - along with most EV enthusiasts and techies - are absolutely amped to see this electric car hit the market in 2025.
There are few technology releases that gather quite so much excitement as the launch of a new Tesla model – and the Model 2 is no different. It is rumoured that the proposed hatchback will come in six designs, but initial concepts have been kept closely under wraps. With battery technology improving year on year, there’s no doubt that the Tesla Model 2 will benefit from cutting-edge technology, offering drivers a huge range with enviable power. And, of course, drivers will benefit from the nearly 1000 Tesla Superchargers across the UK.
Of course, Tesla will see a number of competitors in the affordable EV market by 2025. The MG4 launched just last year, reimagining what an electric car should cost – and they have already announced the next model in their series. But there still isn’t an EV manufacturer that holds quite as much brand power as Tesla, so it’s a safe bet that the Model 2 will be just as luxurious, punchy and successful as its predecessors – at a fraction of the cost.
The Tesla Model 2, set for launch in 2025, will be the most affordable Tesla on the market to date. And there’s good news: the UK Government has confirmed that the ultra-low Benefit in Kind rate will remain in place until at least 2028, meaning that you could get the Model 2 at the most affordable rate in the country.
Learn more about how EV salary sacrifice can unlock up to 60% off your monthly lease!
There’s no doubt about it: electric cars are here, and they’re here to stay. 2023 is set to be the most exciting year yet for EV tech, and we’re passionate about bringing the most affordable prices so you can enjoy your new electric car without a care in the world.
The electric revolution is underway. Why not join us?
Cities across the UK are phasing out petrol and diesel cars, and phasing in electric cars by enforcing Low Emission Zones (LEZ). Whether it be the London ULEZ (Ultra-low Emission Zone) expanding to every borough from 29th August 2023 or Scotland banning high-polluting vehicles outright in their four largest cities, one thing is clear: motorists will (literally) pay the price of driving a high-polluting vehicle.
There’s never been a better time to switch to an all-electric, zero-tailpipe emissions car.
So why not do it? Get up to 60% off an electric car with loveelectric’s EV salary sacrifice perk - the UK’s best employee benefit.
First introduced by Sweden in 1996, Low Emission Zones are enforced in cities where high levels of air pollution are caused by road transport - e.g. cars, buses and lorries. As is well documented, petrol and diesel engines emit high levels of carbon dioxide (CO2) and contribute significantly towards climate change.
Of particular interest in regards to air quality though, is Nitrogen Dioxide (NOx) and Particulate Matter (PM) - the latter of which is a byproduct of Nitrogen Dioxide.
NOx is especially prevalent in diesel vehicles. This is due to the way a diesel engine burns its fuel, typically operating at a far lower temperature and requiring more oxygen than a petrol car. The process results in a high level of NOx and PM from the exhaust. It’s why there are far stricter emissions restrictions for diesel cars from 2015 onwards.
By restricting access, and penalising, the most highly-polluting vehicles, air quality in the local area is vastly improved.
Here are the different types of low emission zones throughout the UK:
There are also different classifications of Clean Air Zones and Low Emission Zones, broken down into classes (Class A - D):
A) Buses, coaches, taxis and private hire vehicles
B) Buses, coaches, taxis and private hire vehicles, heavy goods vehicles
C) Buses, coaches, taxis and private hire vehicles, heavy goods vehicles, vans, minibuses
D) Buses, coaches, taxis and private hire vehicles, heavy goods vehicles, vans, minibuses, cars (+ motorcycles if the local authority stipulates)
Below is a list of all the major UK cities that currently have Low Emission Zones, Clean Air Zones or Zero Emission Zones either planned or actively enforced. We’ve also indicated how much it costs to drive in each particular Zone, the date in which the Zone is active from and the times/dates in which the charges apply.
To tackle the toxic air millions of Londoners breathe in every day, Sadiq Khan introduced the Ultra Low Emission Zone in 2019. In short, it worked. As of July 2022, there were 67,000 fewer non-compliant vehicles in the zone, 44,000 fewer diesel cars and a 20% reduction in harmful Nitrogen Dioxide and Particulate Matter.
Ultra-Low Emission Zone
Low Emission Zone
Congestion Charge
With the introduction of the Congestion Charge all the way back in February 2003, London has been on the cutting-edge of reducing pollution in major cities for decades. Followed five years later in 2008 with the Low Emission Zone (LEZ), London began to breathe a bit deeper as dirty diesels were gradually kicked out of the capital.
However, air quality still steadily declined. Road vehicles are currently the single largest cause of London’s air pollution, producing just under 50% of all nitrogen oxides as well as tiny particles of metal and rubber in their trillions. The resulting mix of chemicals can be fatal. Air pollution increases the risk of asthma, lung disease, cancer and even dementia.
Transport for London lets you check whether your vehicle meets the stringent emissions standard to qualify. If not, you could be looking at an annual cost of £4,500+ just to drive your car in London from August 2023 onwards.
If you live or commute in London, an electric car lease practically pays for itself with the savings made.
Want to avoid the ULEZ charge altogether? Why not see how much you could save on an electric car? Whether you’re in the market for a luxury German cruiser, a tyre-shredding Taycan or sales-topping Tesla - save up to 60% on EVs with 250+ miles of range.
The Greater Manchester Clean Air Zone had been due to go live at the end of May in 2022, but was pushed back due to concerns on the effect it would have on local businesses. Private passenger cars, motorbikes and mopeds were not due to be included in the Greater Manchester Clean Air Zone.
The Oxford Zero Emission Zone is the first of its kind in the UK. Unless driving a zero-emissions electric car, driving through this Zero Emission Zone incurs a cost. That’s bad news for any driver with a petrol or diesel engine, but a great piece of news for those who run on all-electric.
Why not join them and save yourself up to £3650 by avoiding the Zero Emission Zone charge?
Unlike the majority of Low Emission Zones (LEZ) in England, Scotland is implementing a far stricter approach to tackling the air pollution in its major cities. Whereas most cities charge non-compliant vehicles a daily charge of between £8-£12.50, Scotland will only allow compliant vehicles to drive within Low Emission Zones.
Make sure you have a compliant low-emission electric car with loveelectric’s green employee benefit. Sign up today to get up to 60% off your new EV with salary sacrifice.
Any non-compliant vehicle will be subject to a Penalty Charge Notice (PCN) of £60, which is reduced to £30 if paid within a fortnight.
However, the penalty amount doubles with each subsequent breach of the rules detected within the same LEZ. This can amount to a total of £480 of penalties for a car, before the charge is capped.
Rules vary depending on which city you plan on visiting, but there are some general rules of thumb.
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Cars registered before 1st March 2001 are classed as ‘Private/Light Goods’ (PLG) vehicles and taxed accordingly: £180 for a vehicle with an engine smaller than 1549cc, £295 for a vehicle with an engine over 1549cc. Any vehicle registered before this date will likely have to pay to drive in a Low Emission Zone.
To see whether your vehicle is exempt from paying the charge, use GOV.UK’s number plate checker.
If you drive an electric, scroll on. There’s no need to read this section unless you’re in need of a virtual pat-on-the-back.
In light of the ULEZ expanding to cover the entirety of London, if you're a driver in the capital then an electric car is a no-brainer. You could save up to an extra £4,500 a year by going electric if you live in London. That’s £375 a month - enough to cover the entire monthly net cost of a lease on some of our most popular all-electric makes and models.
It’s not just residents of the capital that can save big.
Drivers who travel in and out of Bristol could save up to £3,825 a year in low emission zone fees. There’s similar savings to be had for motorists in Birmingham too, with electric car drivers able to swerve a total of £2,920 per year in LEZ fees.
Ready to save up to 60% on the latest electric car and £££s extra in low emission fees? Join the all-electric revolution here.
This article was originally published in Sustainable Business Magazine.
Electric car drivers need to protect themselves from volatility in the used car market, following Tesla’s dramatic decision last week to slash the prices of its two best selling cars, the Model 3 and Model Y, by up to £8,000.
Steve Tigar, CEO and founder of loveelectric, whose green car scheme greatly reduces the cost of EVs, warned that these cuts could lead to a decrease in the value of secondhand EVs. This is because sellers may need to price their used electric cars cheaper than new models to attract buyers. As the market leader in EVs, Tesla's move could mark the beginning of a price war among rival car manufacturers and decrease the value of all used EVs across the market.
Difficulties calculating residual prices are responsible, in part, for keeping electric car leases high. Because they are relatively new technology, there is little data available for future second-hand car value – and announcements such as this from a brand of Tesla’s renown can complicate the market even further.
Several factors impact residual values, including battery technology, fuel costs, government incentives, and consumer demand. For EVs, batteries sit at the heart of this calculation. The battery’s capacity and lifespan can significantly impact the vehicle's overall performance and value – and, therefore, how the electric car will retain that value.
“The residual values of electric cars are facing increasing pressure,” Tigar advised. “The increasing cost of living and rising interest rates for car financing makes it difficult for used car buyers to afford electric cars. Additionally, the growing supply of used electric cars may temporarily exceed demand.”
Recently, cap hpi, a reputable used car pricing guide in the automotive industry, warned that secondhand electric cars are becoming increasingly difficult to sell, resulting in prices being lowered to shift them.
Furthermore, auction giant Aston Barclay reported that the average price of a used EV dropped by nearly £5,000 in the last quarter of 2022. Used Tesla Model 3 prices fell by 21% in 2022 alone: an indicator of the volatility of residual pricing.
With this lack of certainty casting a shadow over the electric car market, Tigar advises EV drivers to consider leasing or salary sacrifice to shield themselves from fluctuations in the value of their used cars.
“Leasing is the perfect solution. It allows for a fixed monthly rental, regardless of the used car market, and the leasing company takes on the risk of the car's value at the end of the contract,” said Tigar.
“And salary sacrifice is even better still, compounding the benefits of leasing. Drivers with an all-inclusive salary sacrifice lease (with service, maintenance, and insurance included) fund their lease through their gross salary, resulting in significant savings of up to 60% in taxes and national insurance compared to a personal lease. In some cases, salary sacrifice can even make it cheaper to fund a new EV than to finance a used electric car privately.”
Tigar believes that this volatility is to be expected for any new technology. He expects that residual values will eventually stabilise as the 2030 ban on the sale of new petrol or diesel engine vehicles approaches and the speed of battery technology begins to level out.
“2022 was a huge year for electric cars in the UK. We were thrilled to see that the number of electric car registrations outstripped petrol and diesel registrations for the first time in December 2022. As electric cars across the board become more affordable, and residual values begin to level out, we’ll start to see the swing from ICE to electric.”
“There is an unstoppable momentum building behind electric cars: they’re great to drive, electricity is much cheaper than petrol or diesel, and, of course, they are a vital answer to both local air pollution and climate change,” he concluded.
Electric vehicle lease company loveelectric has announced a partnership with clean energy solutions provider Egg to help UK customers install affordable home EV charge points.
Now, loveelectric customers purchasing their fast home EV charger from Egg will receive the Egg Plus aftercare plan completely free of charge for three years.
Egg Plus offers a full repair-or-replace promise, giving drivers peace of mind that if something should go wrong with their charger - whether hardware or electrics - Egg will take care of it.
loveelectric works with a market-leading number of leasing agents across the UK and uses a government-backed employee EV benefit to offer employees affordable leases for new electric cars.
Working with hundreds of UK businesses, loveelectric drivers sacrifice a small proportion of their gross salary and in return save up to 60% on the lease of a new, fully electric car. loveelectric drivers receive inclusive comprehensive insurance, maintenance and servicing – all while reducing their monthly tax and National Insurance contributions.
“We’re on a mission to make driving accessible and affordable for all,” said Steve Tigar, founder and CEO of loveelectric.
“Working with Egg helps us do just that: their cracking chargers are affordable and fuss-free, meaning our drivers are always charged up and ready to roll. Egg’s smart charging capabilities give our drivers the tools and information to make energy-savvy choices that can reduce the cost of charging at home. Our partnership will ensure that more people can afford to switch to electric – accelerating the UK’s progress to net-zero.”
Egg’s 7.2 kw fast home charger comes with standard installation included in the price and is compatible with all EVs. Customers can get an untethered Egg charger for £882 upfront or choose to spread the cost into 36 monthly installments of £24.50 with 0% APR.
loveelectric will then cover the £3 per month cost for the Egg Plus repair-or-replace promise, representing a saving of £108 over the 36-month plan.
“We are proud to partner with loveelectric whose 100% electric stock demonstrates its commitment to the electrification of driving,” added Gareth Greppellini, Commercial, Marketing and Sales Director of Egg.
“Our brands are aligned on making the switch to EVs as simple and accessible as possible. We also admire loveelectric’s commitment to supporting Asthma UK's Clean Air campaign, its contribution towards environmental regeneration and its creation of employment opportunities for young people.”
With the emissions net tightening around major cities, more drivers are expected to look to electric cars as a way to save significantly on commuting costs. Clean Air Zones will operate in at least eight UK cities in 2023, with the ULEZ expansion across Greater London meaning drivers of non–exempt vehicles will be subject to the £12.50 charge every day they drive within the zone. For residents using their cars on a daily basis, that would amount to an annual cost of over £4,500.
Want to learn more about how you can save on your charger when you lease your new electric car with loveelectric? Check out the full details here.
You’re convinced. You want a new electric car, but you’re cash-savvy and looking for the best deal. With the chance to get up to 60% off a new car (and at least 30%!) with salary sacrifice, loveelectric’s green employee benefit is a no-brainer. You’ve done your research and found the perfect electric car – you’re all but ready to order and show your friends and family that you’re willing to put your money where your mouth is.
But, your boss doesn’t even know that loveelectric exists. Or perhaps there’s a salary sacrifice scheme already in place, but it’s not just for electric cars and you think loveelectric would be a better fit (and a better deal!).
How do you get loveelectric set up at your company so you can place your order and start driving electric ASAP?
In this article, we’ve set out a straightforward strategy so you can have the best chance of getting your company signed up with loveelectric – and you get in the good books for recommending the best green employee benefit in the UK.
Get the process rolling now and refer your employer!
Simply put, loveelectric is the best green employee benefit in the UK. We save our drivers up to 60% on their new electric car while managing everything from placing the order to servicing, maintenance and comprehensive insurance.
We can save our drivers so much money because of an incredibly favourable tax rate for electric cars as a workplace benefit. This ‘Benefit in Kind’ tax is calculated for company cars based on tailpipe emissions, so it’s incredibly low for EVs. In fact, the UK government has confirmed that the rate will stay at 2% for EVs until 2025 and remain low for the better part of the 2020’s, compared to around 25-35% for petrol or diesel cars.
Read more about the latest on Benefit in Kind rates
So, how do you get a piece of this sweet, low-cost (and low-carbon) pie?
At the heart of what HR lives and breathes people. Their top priority is making sure that teams gel and individuals are meeting their potential. For that reason, employee benefits usually lie in HR’s remit – so speaking with them directly about loveelectric’s offering is a great place to start. There may even be a formal process for suggesting new benefits.
Maybe you already have a sustainability, impact, regenerative or green team: whatever they’re known as, this group is a fantastic first stop on your mission to get loveelectric in place at your company. Sustainability teams have CSR and ESG targets they need to meet, and shifting the company car policy to fully electric is an excellent way to cut Scope 1 emissions drastically.
Whether in Slack, around the water cooler or in those pesky 1-2-1s, your boss is the best person to get on your side to advocate for loveelectric. They probably know the route to the top and have regular interaction with the decision makers, movers, and shakers. Do they have an upcoming Board presentation on your team’s performance or latest project? What a way to get loveelectric in front of the eyes of those decision-makers (who wouldn’t shake their heads at the huge savings they could make, too).
They say that three’s a party – so get your teammates on board to strengthen your party power! Share with them the opportunity to get up to 60% off a new electric car and approach your company together.
Some secrets were never meant to be kept. Bring loveelectric and the savings your whole company can make - to their wallets and the environment - to the forefront of the conversation! Download the image below that you can post into your #general, #random or #water-cooler channel.
For those workplaces that keep it old-school, filling out a suggestion form may do the trick. Read on to find out why your company might be interested in introducing loveelectric.
You know why you want to get a car with loveelectric. As an independent ‘neo-broker’, working with us will save you time and money so you can get behind the wheel as fast as possible. We’re not tied into complicated agreements, and we can scan the market for the best prices from the top leasing companies. We also have a network of 300+ dealerships across the UK, meaning we have the fastest lead times.
But your boss is looking for something different from an employee benefit. We know that companies are primarily interested in three things when they’re considering implementing a green employee benefit:
Let’s have a closer look at each of these considerations.
At the core of every successful company is a strong team. Happy, supported and motivated employees are more likely to be productive, creative and engaged in the company strategy. And, critically, they’re more likely to want to stick around for a long time or be knocking at the door when new positions open up.
Workplaces must change and adapt as people’s values and attitudes change. As a result, companies that bolster their green credentials will have the pick of the most talented employees. 71% of Millenials and Gen Z’s consider climate change to be the biggest challenge facing their generation, and 44% of Millenials and 49% of Gen Z’s have made choices about the work they do, and whom they work for, based on their values.
With the great resignation taking its toll on companies across the world, employers are acutely aware of the pressure on them to be perceived as modern and ethical - not just for being seen to do the right thing, but also to make sure that they have the edge over their competitors by curating the most talented team.
Green benefits, like loveelectric, are a fantastic way to show the world that your company is aligned with this green consciousness and prioritises positive action in fighting climate change.
Read more about how green employee benefits help companies attract the best staff
Attracting and retaining the best talent isn’t the only fantastic reason for companies to implement green employee benefits.
Like employees, customers are more conscious than ever before about where they spend their money. One-third of global consumers are willing to spend more money on sustainable products, but consumers are also acutely aware of when a company’s green messaging is inaccurate or greenwashing the matter. To survive this tightrope walk, businesses have to put their money where their mouth is – and the best way to do so is to bring their actions in line with their intentions. Employing green employee benefits, like loveelectric, is a brilliant way to do just that.
Businesses across all sectors also feel the green pressure from other stakeholders; high on the list are governments. Complying with and influencing government policy is essential for companies to thrive. In the UK, these policy changes will impact how people do business. Specifically, the UK government’s Net Zero Strategy requires most companies to have long-term targets with emission reductions of at least 90-95% by 2050. Switching the company car fleet to electric is an effective way to reduce Scope 1 emissions dramatically.
One of the most common questions we get from companies when they want to implement an electric vehicle salary sacrifice scheme is: what happens if the lease has to be terminated early?
While companies want to hold onto their most talented employees, sometimes things don’t go to plan. Businesses don’t want to be burdened by the risk of a lease that isn’t seen to the end.
That’s why we offer the most comprehensive early-termination protection policy on the market. And, unlike our competitors, we do not limit how many vehicles are covered.
Learn more about how loveelectric is the low-risk option
Armed with this information, you’ll be ready to face any questions that come your way from your teammates or boss. And don’t forget - we’re on your side! If you’d like us to take the wheel, click below to fill in the form and we’ll get in touch with your boss directly via email with all of this information and more.
Refer your employer
Once you’ve filled in our two-minute form, we’ll send you a confirmation email. There, we’ll run down the next steps and a few ideas on how to approach your boss. You’ll also find a handy brochure that covers everything you’ll need to know to be the best loveelectric advocate you can be.
You can see what this email will look like below:
Once you’ve completed the form, we’ll send your boss an email to let them know that you’re keen for loveelectric’s EV perk to be set up at your company. This email will tell them about the epic benefits loveelectric can bring, from boosting sustainability credentials to helping attract the best new talent.
We know that making suggestions to your boss might seem awkward, which is why this email is completely anonymous. Check out the template of what this email covers below.
Our email will give your boss an overview of loveelectric’s offering. We’ll also attach a downloadable brochure with comprehensive information and answers to our most frequently answered questions. Finally, your boss will have the chance to book a call with one of the loveelectric team, where they’ll get a full run-through of EV salary sacrifice and kickstart the process of getting the benefit live at your company.
Now you’re armed with all the info you’ll need, you’re ready to schedule that meeting with your boss, send a message to your sustainability team and start chatting with your colleagues by the proverbial watercooler.
If you want to make it even easier on yourself, simply fill in this form, and we’ll do the heavy lifting.
We can’t wait to see you driving your dream electric car.
To implement our incredible loveelectric employee benefit, the company first has to apply for credit from our leasing partners. Whether the company is suitable, and eligible for credit, depends on a couple of factors.
Every application is approved or denied on a case-by-case basis. As such, there’s lots of ways businesses can improve their chances of approval, as well as some general good practice to increase the likelihood and speed up the process.
If you'd like to get a rough eligibility score for your company, use the quick and easy loveelectric eligibility checker here.
There’s no ‘magic formula’ for a company being approved for credit. However, below we outline all the ways a company can improve its eligibility.
Ready to elevate your company? Get in touch.
Applying for credit from the UK’s largest funders can sometimes involve a somewhat in-depth examination of a company’s books.
If your company Net Worth is below £500,000, then there is a reduced chance of a company being granted a credit line. If successful, it may also mean a smaller line of credit is opened for your business, at least initially. This, in turn, means that fewer cars will be available to employees.
However, one of our funders will accept a guarantee from a UK-based parent company - but it can not be based abroad. If a company with a Net Worth of <£500,000 can demonstrate strong year-on-year growth for multiple consecutive years, it has on occasion been granted full credit.
When examining company accounts, key figures to be in the green are:
These numbers will give a strong indication of how likely the company is to have credit approved.
Even though applying for a line of credit is a B2B transaction, there’s still a human team at the other end processing the application. It doesn’t hurt to put forward the best application from the outset.
Here are some simple hygiene factors that will speed the application process up and potentially grant some good faith with the application team.
Why do we need your company’s banking details?
At the application stage, it’s simply to confirm that your business has a UK bank account via a PAYE check.
Once the benefit is live, the company pays the first month’s lease initially before providing the use of the car to the employee. This then becomes a Benefit-in-Kind, with the cost reimbursed to the company in the same month via the employee’s gross salary.
This request will appear as a direct debit, with nothing being billed until the vehicle is due to arrive. We’re regulated by the Financial Conduct Authority (FRN743264), so rest assured that this is completely normal practice for a salary sacrifice model.
The application process can be time consuming, which is why we encourage all of our business clients to initially request a credit line that covers roughly 10% of their eligible workforce.
Many companies implement the scheme on a ‘tester’ basis, requesting only a small amount of credit - just enough to cover only one or two cars, say. Inevitably, employees find out about the incredible savings that can be made, but the company doesn’t have enough credit to offer the benefit.
The company then has to apply for a credit line extension. For a lot of our client companies, this adds unnecessary workload that can be easily avoided by initially applying for more credit.
This is why our application form autofills with a figure of 10%.
It isn’t a necessity to progress the application with this figure, a business can apply for as many - or as few - cars as they require. We can always request more credit for the business further down the line, but 10% is our recommended figure to aim for.
Ready to introduce the world's best employee benefit? Get in touch
Although many leasing companies will pretend it doesn’t, they actually do really care about your company size and its length of trading.
As a general rule of thumb, companies with more than 20 employees who’ve been trading for over 2 years typically fare best during the application process. However, this isn’t a hard and fast rule. Young companies with two years of trading - but only a handful of employees - can still be approved if the company accounts show a healthy balance sheet.
In short; the bottom line for approval is the company’s bottom line.
One of the main reasons that companies are refused credit is due to the condition of the Company Director’s credit report. If you have a poor credit score, take a look at Experian’s Top 10 Tips to Improving your Credit Score.
Insurance underwriters create their quotes based on trends and data. On occasion, underwriters have found a correlation between a director’s poor credit score and the company defaulting on payments (if required).
This means that if the Company Director has a less than favourable credit report, their business will likely only receive credit from one of our funders.
Other important notes for Directors:
By choosing loveelectric, companies don’t just get the greatest green employee benefit, they get a whole team of advocates.
Thanks to well-established professional relationships with the country’s largest and most trusted leasing companies, we’re able to appeal decisions and fight on your behalf. We do absolutely everything we can to get your application approved.
That’s a loveelectric guarantee.
Our handy eligibility checklist outlines the 10 key criteria our funders rank applicants on.
Download our checklist below and see if your company is ready to implement the world’s best green employee benefit: attract and retain the best staff, hit stringent Corporate Social Responsibility targets and boost brand image - all without paying a penny.
With each passing Conference of the Parties of the UNFCCC - better known as COP - the urgency of climate action grows increasingly clear. The window of opportunity to keep the global temperature from rising by 1.5C grows narrower by the day.
COP27 is arguably the most important meeting of nations the globe will see, with the opening statement from President von der Leyen sending a stark message:
“The climate is changing faster than our capacity to adapt. So the world must deliver better and faster. The global fossil fuel crisis must be a game changer. And my friends, let us not take the highway to hell; let us earn the clean ticket to heaven. That is our responsibility.”
This stark warning to the world’s leaders set the stage for two weeks of informative lectures, keynote speakers and intense negotiations between countries from every continent. Transport is the largest emitting sector of greenhouse gas emissions in the UK, producing 24% of the UK’s total emissions in 2020 (406 MtCO2e or 406 million tonnes of carbon dioxide equivalent.)
The easiest way to reduce your carbon footprint is by going electric.
Below are some of the highlights of COP27.
The overarching goal of COP27 is to limit the globe’s temperature from reaching 1.5C above pre-industrial levels. Currently, the figure is around 1.1C, with devastating effects already taking place.
Take the recent floods in Pakistan, for example. The country’s Prime Minister, Shehbaz Sharif, addressed heads of state with facts about the floods, both equally as heartbreaking as they are concerning:
Unfortunately, natural disasters like floods, droughts and tornadoes will become increasingly commonplace and with fiercer intensity if global leaders do not meet climate goals. A research article published by the European Geosciences Union examined and compared the effects between a 1.5C rise and a 2C rise, with the key differences outlined in the infographic below.
As outlined above, even a rise to 1.5C of warming will have catastrophic effects on the globe’s crops, sealife and freshwater supplies. At 2C, nearly the entirety of the world’s corals would be at risk of bleaching, wiping out huge swathes of ocean life.
At COP27, there was increased concern around the language used by global leaders. As reported by the Guardian, “some countries are pushing for a return to Paris language, which centres on ‘well-below 2C’”. Losing the clear target of 1.5C and replacing it with language open to interpretation may lead to an acceleration in climate degradation and broken commitments.
Every year, the Climate Change Performance Index is released. It compares the climate performance of 59 countries and the EU - all of which cumulatively account for 92% of global greenhouse gas emissions.
5 key takeaways are from the data:
One of the most prevalent anti-fossil fuel movements is JustStopOil. The environmental activists have demonstrated across numerous countries, from climbing gantries on busy motorways to infamous orange-paint publicity stunts.
The group aims to “ensure the government commits to ending all new licences and consents for the exploration, development and production of fossil fuels in the UK”. This is key to achieving the all-important 1.5C temperature limit, but what impact do their tactics have on public perceptions of climate change?
Scientist Dr Michael E Mann surveyed over 2,000 respondents, with 46% reporting that JustStopOil’s choice of protests actually decreased their support for efforts addressing climate change. 40% of those who took the survey stated JustStopOil’s demonstrations had no effect with only 13% reporting the tactics increased their support.
One of the biggest topics of conversation at COP27 has been air quality. The World Health Organisation hosted a panel discussion about the impact of climate change and subsequent environmental issues on the cleanliness of the air we breathe.
The starkest figure is that over 90% of people breathe air which is polluted beyond WHO air quality limits, causing over 7 million premature deaths. This is especially prevalent in cities and built-up areas, such as London.
We’ve previously discussed the exponential rise in SUVs across the globe in our Ultimate Tesla Leasing Guide, but they are easily becoming the most popular vehicle body type. But at what cost? With carbon emissions from SUVs nearly 10% higher than average, petrol and diesel SUVs have no place in a future where our children aren’t breathing in polluted air.
By one estimate, SUV drivers could collectively save c. 9 million tonnes of CO2 every year by switching to an electric alternative.
Be the change. Switch to an electric car and eliminate your tailpipe emissions: no more nasty NOx and CO2 spewing from your exhaust when picking up the kids or driving through your local town.
We know that the main barrier of entry into all-electric motoring is cost. By removing the deposit and drastically reducing the monthly cost by up to 60%, loveelectric’s employee benefit allows drivers the best opportunity to go green.
With half of all new cars due to be electric by 2025, employers and employees alike have an unprecedented opportunity to lower carbon emissions without making any compromises.
Whether you’re an employer looking to hit CSR targets, improve brand image and retain/attract the best staff, or an employee wanting to save big on fuel costs, leave a better world behind for your children and drive the best the automotive industry has on offer.
There are no two ways about it: loveelectric is the best green employee benefit on offer.
We hope to see even more fantastic incentives for businesses to improve their green credentials from COP27.
love to join? Help your employees benefit from one of the best employee benefit schemes going without it costing you a penny. Drop us an email and we’ll be in touch within 24 hours.
love to halve the cost of your new electric car? You just need your employer to sign up first. Fill in your company details so we can get in touch - it won’t cost them a penny but it might earn you a few brownie points.
