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Electric cars like Teslas now cheaper to own than gas cars in Europe: study

Tesla Model S at a Supercharger in the United Kingdom. (Credit: YouTube/Red Carpet Vlog)

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A recent study from Direct Line, a premier insurance firm in the UK, has stated that electric cars are now cheaper to own than petrol vehicles, at least based on their lifetime running costs. The firm was able to come to this conclusion by analyzing the purchase price of EVs and ICE cars, as well as their maintenance and running costs over a period of 14 years. 

Direct Line noted that currently, the average lifetime running costs of an electric car in 2020 so far is about £52,133. An equivalent petrol powered car, on the other hand, will incur a total lifetime running cost of £53,625. Interestingly enough, Direct Line reached its findings despite the average zero emission vehicle in the UK usually costing about 22% more than a comparable ICE car. 

Despite this, EVs are poised to give savings to their owners due to their low running costs. For its study, Direct Line opted to use an EV that is worth £27,921 and a petrol car that’s worth £22,976. While the electric vehicle is indeed more expensive upfront, savings in terms of fuel cost, tax, and maintenance make EVs 21% cheaper to run overall. Overall, the firm estimated that EV owners will spend £33.50 per week on an EV, while ICE owners will spend £42.40. 

Similar to the findings of US based company iSeeCars.com, an analysis from UK based car sales platform AutoTrader has revealed that some EVs maintain their value longer than ICE cars. According to AutoTrader, electric cars only lose 12% of their value over a year, while ICE cars depreciate 24%. Teslas, of course, are even more extreme, with the Model 3 depreciating only by 10% over a three year period as per a study in the US second hand car market. 

The UK is currently initiating an aggressive push for electrification, with the country looking to ban all hybrid and petrol powered cars by 2035. The date was initially set for 2040, but the UK government opted to move the target up five years in order to have better chances at achieving its zero carbon emissions goal for 2050. Neil Ingram, head of motor product at Direct Line, noted in a statement to This Is Money UK that it is far more preferable for car buyers to adopt EVs now, instead of waiting for the 2035 deadline. 

“(Buyers could) already be saving money by switching from a traditional petrol or diesel car to an equivalent electric model now. We expect prices to come down in future, thanks partly to the Government’s commitment to making greener vehicles more accessible but also to advances in technology ensuring that purchasing, refuelling, maintaining and insuring an electric car becomes easier, cheaper and better for the environment,” he remarked. 

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Elon Musk

SpaceX Starship gets FAA nod for ninth test flight

The FAA has given the green light for Starship’s ninth test flight.

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(Credit: SpaceX)

SpaceX has received FAA approval for the ninth test flight of the Starship rocket. The approval was delayed due to the federal agency finishing its comprehensive safety review of the eighth flight earlier this year.

The FAA said in a statement that it has determined that SpaceX has “satisfactorily addressed the causes of the mishap, and therefore, the Starship vehicle can return to flight.”

The eighth test flight occurred back on March 6. SpaceX completed a successful liftoff of Starship and the Super Heavy Booster, before the two entered stage separation a few minutes after launch.

Starship Flight 8: SpaceX nails Super Heavy booster catch but loses upper stage

The booster returned and was caught by the chopsticks on the launch pad, completing the second successful booster catch in the program’s history. However, SpaceX lost contact with Starship in the upper atmosphere.

The ship broke up and reentered the atmosphere over Florida and the Bahamas.

The debris situation caused the FAA to initiate a mishap investigation:

The FAA said it will verify that SpaceX implements all the corrective actions on Flight 9 that it discovered during the mishap investigation.

There is no current confirmed launch window, but the earliest it could take off from Starbase is Tuesday, May 27, at 6:30 p.m. local time.

To prevent any injuries and potentially limit any damage, the FAA has stayed in contact with various countries that could be impacted if another loss of vehicle occurs:

“The FAA is in close contact and collaboration with the United Kingdom, Turks & Caicos Islands, Bahamas, Mexico, and Cuba as the agency continues to monitor SpaceX’s compliance with all public safety and other regulatory requirements.”

The agency has also stated that the Aircraft Hazard Area (AHA) is approximately 1,600 nautical miles and extends eastward from the Starbase, Texas, launch site through the Straits of Florida, including the Bahamas and Turks & Caicos.

For flight 8, the AHA was just 885 nautical miles.

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Hyundai begins real-world testing of AI-powered EV charging robot

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Credit: Hyundai

Hyundai announced on Thursday that it has officially launched real-world testing of its AI-powered EV charging robot, which it is referring to as the ACR.

The Korean company is partnering with both Kia and Incheon International Airport for the testing phase, which was launched with a memorandum of understanding (MOU). The pilot program is going to be used to lay the groundwork for future robot use for EV charging.

Incheon already has a reputation that aligns with the pilot program as it has the largest eco-friendly vehicle infrastructure in Korea, according to Korea JoongAng Daily, which first reported the launch of the pilot program.

Hyundai is partnering with Kia’s Robotics Lab to provide hardware and software solutions for this early rollout.

Yan Hee-won, President of Hyundai Motor’s R&D Division, said:

“This marks an important turning point in validating the practical value of future mobility technologies. With customized automatic charging solutions, we aim to deliver a more convenient and enhanced mobility experience for users.”

The testing phase will be limited in the sense that the charging robot will be deployed for a fleet of eco-friendly airport vehicles. Those who park their EVs at the airport will not be able to use it for use while they’re traveling — at least at first.

Eventually, it will become a great way to give vehicles range while the owners are off on trips.

Tesla had a similar idea several years ago, which it shared viral videos of back in 2015.

Tesla “snake charger” wasn’t just a creepy one-off, suggests Elon Musk

Musk said in 2020 that Tesla still had the intention of making it. However, it has shifted to wireless induction charging, which seems to be a better option simply because of fewer moving parts and better compatibility with the upcoming Robotaxi fleet.

Tesla flexes Robotaxi wireless charging — autonomy from top to bottom

Tesla displayed its wireless charging idea at the “We, Robot” event last year:

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How Tesla could benefit from the ‘Big Beautiful Bill’ that axes EV subsidies

Tesla has a few paths to limit damage from the elimination of tax credits.

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President Donald J. Trump purchases a Tesla on the South Lawn, Tuesday, March 11, 2025. (Official White House Photo by Molly Riley)
President Donald J. Trump purchases a Tesla on the South Lawn, Tuesday, March 11, 2025. (Official White House Photo by Molly Riley)

The United States House of Representatives passed President Trump’s “Big Beautiful Bill” by a vote of 215 to 214 on Thursday, effectively bringing an end to many EV subsidy programs, like the $7,500 tax credit, by the end of this year.

The bill will not only eliminate the $7,500 credit on new EV purchases, but also the $4,000 credit given on the purchase of used electric vehicles, and a $1,000 credit on the installation of Level 2 chargers. It will also impact solar subsidies that help generate clean energy in a residential setting.

EVs would also be subject to a $250 road use fee.

All of these things sound like negatives — truly because they are. Those who are not in a financial position to buy an EV this year, even with the tax credit, might not be able to afford them in the coming years either, unless manufacturers are able to bring pricing to a level that is more accessible to consumers.

In theory, President Trump’s focus on bringing manufacturing back to America would bring prices down, but it won’t happen overnight. Companies will take many years to completely bring manufacturing and part sourcing to the United States.

However, Tesla could feel some positives from this bill, and it all comes down to timing. Of course, in the long term, it wouldn’t be great for the company, especially if it did not have two things going on right now: a slightly lagging delivery pace and the introduction of affordable models.

Tax Credit Sunsetting Advantage

Sunsetting the $7,500 tax credit means one thing: those who have been in limbo over buying an EV from Tesla are going to have to make a decision on whether they want to buy this year and still have access to the credit, or test their luck and hope for price reductions.

More than likely, those who have been on the fence will be willing to pull the trigger this year, and Tesla will definitely gain some sales from this fact alone. Other automakers will, too.

This could help offset Tesla’s slow start to the year, which has been caused by the changeover of production lines of the Model Y across each of its factories globally.

Affordable Models

Tesla said earlier this year that it will roll out affordable models in the first half of 2025. These cars are expected to be around the $30,000 mark, but the company has not shed any true information on what they will cost.

Potential affordable Tesla “Model 2/Model Q” test car spotted anew in Giga Texas

Ideally, the cars would cost under $30,000 without the EV tax credit, which would be more than accessible for many car buyers in the United States.

The introduction of models that are not in need of a tax credit to be affordable to the masses. This would help offset some of the losses Tesla might feel from cars losing the tax credit.

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