Sub £200 deals are back as new car supply issues easeLeasing companies are offering sub £200 per month deals on electric cars for the first time in months as supply constraints loosen up. 

The best deals are on the Volkswagen e-UP!, a car which is no longer officially on sale in the UK. It is thought several leasing companies bought up the last batches of production at a discount, allowing them to offer the car – which had a list price of £25,585 – at a lower cost. Both Leasing.com and Leaseloco were both offering electric UPs at under £190 per month, on a 24-month contract with advance payments of around £2,000 and an 8,000 mile per year allowance. 

Another ageing electric hatch on offer at under £200 per month is the Renault Zoe, with a similar contract conditions but 5,000 mile limit. The cheapest Zoe’s list price is £29,995, making it cheaper on a lease than rivals such as the MG4 which cost several thousands pounds less. 

These cars are also being offered on salary sacrifice leases, with employees able to save up to 42% on the monthly cost. That could make an e-UP cost less than some drivers’ fuel costs.

Paul Harrison, chief partnerships officer at Leasing.com, said: “It’s been a strong start to the year for the new car leasing market as consumers returned after the Christmas holidays. Increased demand has been supported with improving availability of new stock among some manufacturers. Seeing battery electric hatchbacks for less than £200 per month is unprecedented, and small electric SUV are available at between £250-300 per month. However, motorists should move quickly before this stock is sold.”

A Zoe lease is currently less than cars with a higher list price