Volvo charges less for XC40 PHEV 

Tom Barnard

20.8.2020

Volvo has launched a new, cheaper version of its XC40 plug-in hybrid to slip below the £40,000 road tax barrier.  

The new T4 Recharge is available in R-Design and Inscription equipment grades, with front-wheel drive only and priced at £39,130 and £39,475 – a drop of £1,900 compared to the T5. 

The T4 uses a detuned version of Volvo’s 1.5-litre petrol engine and produces 127bhp compared to 178bhp for the T5. This stretches the 0-60mph time from 7.0 to 8.2 seconds. It uses the same 80bhp electric motor and 10.7kWh rechargeable lithium-ion battery to deliver an all-electric driving range of up to 27 miles, with an official CO2 emissions of 47g/km – identical figures to the T5. The benefit-in-kind rate for company car drivers of both models is 12%.

Importantly though, the T4’s sub-£40,000 on-the-road price means it doesn’t attract the additional £325 Vehicle Excise Duty payable from years two to six on more expensive cars. 


Read our full review of the XC40 here and watch Tom's video test here

Share this post

Related Posts