The Electric Car Scheme is an employee benefit that allows your team to lease a new electric car through their gross or pre-tax income. This means they will spend less on their income tax and NI contributions, enabling them to get a new electric car 30-60% cheaper!
Switching to an electric car is one of the most significant ways you can make a positive change towards net zero. We want to make it cheaper and easier than any other option. The Electric Car Scheme makes this possible, allowing your employees to save 30-60% on any electric car by reducing your salary in exchange for an electric car as a benefit. This makes electric cars an affordable option for everyone.
The Electric Car Scheme allows your company to lease an electric car for you, and they’ll pay for it. In exchange, you agree to give up part of your gross salary to cover the monthly lease cost.
The Electric Car Scheme is different from the usual car leasing providers. Instead of paying with your post-tax income, the fixed monthly payments for the car are taken from your salary before any Income Tax or National Insurance is deducted.
The percentage of savings available is dependent on your salary, marginal tax rate and the Benefit in Kind (BIK) tax rate – simply, the more tax you pay, the more you save with The Electric Car Scheme. To estimate how much both the employee and employer can save using such a scheme, try Zest’s electric car salary sacrifice calculator.
A car through The Electric Car Scheme is an employee benefit provided to you. As it’s a ‘company car’, there is a company car tax payable. However, the value of this BIK is set by HMRC, and set at very low rates until at least 2028.
The Electric Car Scheme provides everything that employees need to get started with their new electric vehicle, including a home charging point, insurance, maintenance, and breakdown cover. This all-inclusive package makes it easy for employees to hit the road in their new, electric car.
Why Choose The Electric Car Scheme?
Introducing The Electric Car Scheme
The Electric Car Scheme – Cheat Sheet
If you wish to speak to a Zest representative regarding this benefit. Please email your enquiry to: marketplace@zestbenefits.com
"Reducing the carbon impact of H&B is extremely important to us all and we want to support colleagues wherever possible to reduce their own environmental impacts. This offers a win-win for those looking at new car leasing."
“We at Leeds Bradford Airport are absolutely delighted to have set up The Electric Car Scheme as part of our commitment to sustainability and employee wellbeing.”
“The Electric Car Scheme team's professionalism and expertise have truly impressed us, making us feel confident in our decision to work with them.”
