Frequently asked questions
New electric car leasing customers
As electric car leasing and insurance specialists, we’re trusted to have great deals and stock availability.
We provide your car – plus delivery, collection and car tax. So you’re all ready to roll…
No, it’s just the same as leasing a conventional petrol or diesel car.
When we say in stock deal, we mean that the car is already built and here in the UK – so delivery can typically be within two weeks but there are limited model options and colours. Meanwhile, a factory order means we will order your car with the manufacturer and the estimated build time might be 6-8 months. But it will be built to your specific options and colour.
Most people lease for two – four years.
Yes. You must be 18 to take out a lease.
Most leasing companies and brokers don’t take trade-ins direct. Some do have tie-ins with car buying companies. But this is generally completed as a separate transaction.
Yes. The business will be credit checked and you’ll pay Benefit in Kind tax rates, which are currently very low for electric cars. The main benefit from leasing through a business is tax efficiency: if the business is VAT registered, most of the time you can claim back half the VAT on your lease payments, and all the VAT on maintenance contracts. The company can also offset lease payments against corporation tax, and it reduces the employer’s Class 1A National Insurance contributions.
Yes. You’ll be credit checked and the lease will be classed as regulated by the Financial Conduct Authority. Rental costs can also be offset against tax.
Each lease contract will be treated as a separate agreement. This is usually only accepted for spousal or life partner applications.
Generally, smaller city cars are more affordable – such as the Corsa-e, Fiat 500 and Smart EQ Forfour.
Yes. Usual DVLA costs apply. The plate can be changed either before or after delivery, depending on when you request this – for example, some cars are pre-registered.
Once your lease vehicle is in stock, we’ll contact you to arrange the best delivery date for you. Then we’ll keep you up to date by email, phone or SMS.
The financial stuff
When you choose to lease, you’re renting the car from us – so you don’t own the car. PCP is a purchase agreement which means you’re buying the car but can return it.
Leasing is far more predictable, especially when maintenance is included – so you’ll know what you’re paying and when. You also don’t need to worry about what the car will be worth at the end of the contract.
You just pay for the use of your car over the agreed term. Insurance, service and maintenance costs can also be covered as optional service packages.
No, you don’t need to pay a deposit but you’ll pay a fee when your car’s delivered. You can pay from 1-12 times the first month’s rental. The more you pay in the initial payment, the lower the monthly rental charges work out, but you’ll pay the same over the contract.
Yes. All leasing companies are statutorily regulated to make sure you can afford payments.
All leases include car tax throughout the contract. If the government puts up taxes, you might be charged a bit extra to cover it (but we’ll give you plenty of notice if that happens).
No, but If you lease with us, you can add breakdown cover from just £33 per year per car. LV= Britannia Rescue gives you access to over 4,000 breakdown professionals across the UK who will help to keep you moving.
BIK is an HMRC tax based on a variable percentage of the full price of your company car – calculated by CO2 levels. Electric cars currently have a BIK of 2%, which is deducted from your personal income tax allowance.
If you’re a VAT registered business, you can usually claim back half the VAT for the financial part of the rental. You can reclaim all the VAT on any maintenance package you take.
We charge a fee for our services: arranging the sale, ordering the car, arranging the finance and organising delivery.
Insuring your electric car with Allianz
If you buy your policy from Allianz, you’ll find there are specific benefits that are included within their policies for electric vehicles. They’ll cover all your accessories including charging cables and wall boxes plus the batteries will also be covered as part of their comprehensive cover.
Yes. Just like any car insurance policy. The excess is the total amount you have to pay yourself if you make a claim. This is calculated by combining two types of excess – compulsory & voluntary.
Yes. You will need to take out separate policies for each vehicle but you can insure more than one vehicle with Allianz.
Yes, that’s fine. All insurance companies will ask who the registered keeper is and will give you the option of selecting the lease company.
Yes. The easiest way to do this is by going directly to our insurance partner at Allianz
Yes. Allianz will cover your car’s battery for accidental damage, fire and theft – even if you’re leasing it separately from the car (although this is very rare).
Charging your electric car
Prices vary depending on supplier, but around £900 should cover a 7.2kW home charging unit. Prices vary depending on supplier and installation factors. If you live in a flat or you rent then you can get a £350 government grant or 75% off the cost to buy and install, whichever is lower (from April 2022), which requires a certified electrician to fully install the charge point.
Manufacturers offer a lengthy battery warranty, often for eight years/100,000 miles.
Most drivers charge at home or at work. And public charge points can be located using charge point maps.
Just like the electric motor and battery, the systems that charge your electric car are weather-proof within reason. Whatever the conditions, taking a cable from your boot and plugging it into the car will be absolutely fine.
No, there’s really no need. It’s recommended that you keep the state of charge at around 80% or lower, to maintain battery health.
It’s very rare because most charging cables lock at both ends which prevents theft. When charging, the cable locks at the charge point, and again when your car is locked.
Don’t Panic. If you’ve got breakdown cover with either Allianz insurance or through Britannia Rescue directly and you do run out of charge, then they’ll take you to the nearest charge point in the UK.
Existing electric car leasing customers
Yes. You can exit your lease early with an early termination request – but you’ll need to pay a fee and return the car. Just ask your lease company and they’ll let you know how much it’ll cost. It’s normally a percentage of your remaining rental fees (often half), but it can be the full fee if you’re coming towards the end of a contract.
No. You can’t transfer the lease to another person.
It’s just the same process as with any purchased car – first off, you need to contact your insurance company for advice. If you’re with Allianz, use car insurance support.
Like with hire purchase and PCP, you’ll need to pay an early termination fee – and most of the time the insurance money will cover it. Insurers only pay the market value of the car, though. So there’s a possibility – particularly early on in your term if you’ve only put down a low deposit – that a pay-out won’t cover it. If there’s any difference, you’ll need to pay it.
Don’t worry – you can keep using the car. You’ll need to pay an excess mileage charge, though, which is a pence-per-mile figure. You’ll agree the amount at the start of the lease and you’ll need to pay it when you give the car back.
It can range from as little as 5 pence-per-mile for smaller cars, up to 50 pence-per-mile for premium vehicles. It’ll also be higher if you have a maintenance package as it covers maintenance costs for the extra mileage.
If you know you’re going to go over your mileage then get in touch with your lease company. You can often raise your mileage monthly payments during your lease period.
Your estate would need to pay the early termination fee.
We’ll simply collect your car. Apart from damage and mileage conditions, there should be no extra costs. You can find further information in the BVRLA’s Fair Wear and Tear Statement.
Other electric car info
Electric cars are tested to the same high standards as conventional new cars. And you’ll find that many models achieve high ratings from the independent safety body Euro NCAP.
All cars may struggle in particularly extreme weather. But electric cars can perform in all kinds of weather conditions just as well as a petrol or diesel model – although range will dip a bit in cold weather. All electrical systems are sealed and insulated against the elements.
No. All electric cars are automatic only.
If you have any complaint, please email: electrix@lv.co.uk
For car leases contact CBVC on 0330 818 7555. Service hours are Monday to Friday 9am – 6pm