British motorists are accelerating their switch to electric vehicles in record numbers, but they are increasingly opting for secondhand models to combat the cost of living crisis. New data reveals an unprecedented boom in the used EV leasing market, marking a significant shift in the UK's transition to cleaner transport.
Unprecedented Growth in Used EV Leasing
According to the British Vehicle Rental & Leasing Association (BVRLA), the three months leading to June 2025 saw a seismic shift. Leasing companies reported a staggering 7,000% year-on-year increase in salary sacrifice leases specifically for used vehicles. This surge equates to 3,990 cars being leased through this scheme alone.
The overall used car leasing market has also taken a giant leap forward, registering a 166% year-on-year increase in contracts. This data underscores a fundamental change in how drivers are accessing electric technology, prioritising affordability without compromising on the move to zero-emission transport.
Industry Leaders Hail a 'Major Step Forward'
Toby Poston, Chief Executive at the BVRLA, emphasised the critical importance of a healthy used vehicle market for the entire electric ecosystem. He stated that the used market is four times the size of the new car market and is the single biggest factor that could either support or undermine the UK's transition to EVs.
"It needs stability to succeed," Poston explained. "By supporting second and third owners, we also support the first. In doing so we can protect value throughout the vehicle’s life, making EVs affordable to more households and ensuring sustainability isn’t just environmental but economic."
Fiona Howarth, CEO of Octopus Electric Vehicles, celebrated the market's rapid evolution. "When we first introduced used EVs on salary sacrifice, the goal was simple; make clean driving accessible to more people. Now, that’s exactly what’s happening," she said, adding that "EVs are built to last, with batteries holding their power year after year."
A Thriving and Accessible Electric Future
The consensus among experts is that the used market is the key to mass adoption. Tanya Sinclair, CEO of Electric Vehicles UK, noted that for most people, the used market will be their first step into electric motoring.
"These cars aren’t compromises; they’re high-performing, affordable, and environmentally responsible choices," Sinclair asserted. "Supporting this part of the market means ensuring that every driver can be part of the transition, not just those buying new."
This trend is expected to continue its upward trajectory. Experts from LV=GI project that a significant 31 per cent of all second-hand car sales will be electric vehicles by the end of the decade, signalling a permanent and profound change in the UK's automotive landscape.
