Used electric car prices plummet as Chinese brands flood UK market with cheaper alternatives

Used EVs, which once cost around £39,000, now sell for closer to £25,000, with prices expected to fall even further as more Chinese-made cars enter the UK and early buyers trade up.

The rapid growth of affordable brands such as BYD and Jaecoo has been transforming the used car market, turning electric vehicles from a premium product into something far more attainable for ordinary drivers.

Cazoo has now predicted that average second-hand EV prices could drop to £20,000 within the next year, as supply continues to surge, and competition intensifies.

Much of that supply is being driven by Chinese manufacturers, which have expanded aggressively across the UK with cheaper models packed with technology.

Lucy Tugby, from Cazoo, told The Telegraph: "We expect to see more Chinese EVs from the likes of BYD start to make their way to the second-hand market, as early adopters of these vehicles a couple of years ago upgrade to newer models.

"As these brands continue their aggressive expansion in the UK, we will see them gain more of a share of both the new and second-hand markets in the coming years."

The shift is also changing attitudes among buyers. Traditional brand loyalty, often referred to in the industry as "badge snobbery", appears to be fading fast.

Cazoo's research revealed that six out of 10 British motorists would now consider buying a Chinese electric car, even though awareness of the brands themselves remains surprisingly low.

Only four out of 10 people recognise BYD, while just 12 per cent have heard of Jaecoo, despite the company already operating around 90 dealerships across the UK.

The disconnect suggested buyers are being driven less by brand names and more by price, range and technology, experts explained.

Ms Tugby said: "EV buyers tend to be far more technology-led, rather than brand-led, especially amongst younger drivers. And these new brands can offer huge savings."

The growing availability of used electric cars has also been found to be narrowing the price gap between EVs and petrol vehicles.

Second-hand electric cars are now around 44 per cent more expensive than petrol models, down from almost double that figure just two years ago.

Last month, the average used petrol car cost £16,356, having fallen by just £800 over three years. In contrast, EV prices have dropped sharply, while listings for used electric vehicles have surged by 50 per cent in the past year alone.

Greater supply has also been boosted by manufacturers such as Tesla, which have improved their trade-in and resale operations, increasing the flow of nearly-new electric cars onto the market.

Cazoo stated the falling prices could mark a turning point for electric vehicle adoption, with Ms Tugby suggesting 2026 could be a "breakthrough year" as EVs approach price parity with petrol cars.

Electric vehicles currently make up around 20 per cent of new car sales, but account for less than five per cent of cars on Britain's roads, highlighting the importance of the used market in driving wider adoption.

There are also concerns about the long-term cost of replacing batteries in older vehicles, which Cazoo said has weighed on prices.