How Do Salary Sacrifice Schemes Drive EV Adoption?

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The Electric Car Scheme has announced a new initiative to help drive EV adoption (Credit: The Electric Charge Scheme)
The Electric Car Scheme has announced a new initiative to help drive EV adoption, as new research from Tusker reveals the value of salary sacrifice schemes

The Electric Car Scheme has announced a new initiative to help employees who drive EVs save on charging costs.

Called 'The Charge Scheme,' this benefit allows employees participating in the company's salary sacrifice programme to save between 20% and 50% on EV charging costs, including both home and more costly rapid public charging.

Since June 2020, The Electric Car Scheme has provided employees with the opportunity to lease EVs at up to 60% lower costs through salary sacrifice. Founders Thom Groot and Tom Eilon set up the scheme to make it easier for employees to access the government’s tax incentives for EVs, an initiative intended to help drivers switch from petrol to electric vehicles.

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Do salary sacrifice schemes work? 

A recent survey from Tusker, a salary sacrifice car provider, highlighted the impact of workplace schemes on EV adoption, showing that 40% of employees plan to go electric with their next vehicle. Out of 5,942 employees surveyed, 62% pointed to the savings and tax benefits through salary sacrifice as the main motivator.

Notably, only 10% of respondents plan to stick with petrol, a shift that Tusker’s Managing Director, Kit Wisdom, attributes to the practical and financial appeal of electric cars.

He explains: “Company car and salary sacrifice schemes are playing a major part in supporting EV take-up. Recent growth in EV market share could not have been achieved without the significant benefits linked to salary sacrifice.”

Kit Wisdom, Managing Director, Tusker

Among current Tusker EV drivers, 93% expressed satisfaction with their vehicles, with 96% saying they find them reliable. The survey also identified the ongoing appeal of cheaper running costs, with 60% of employees marking this as an important factor for choosing an EV.

Environmental impact remains influential too, with 52% of respondents switching to help reduce emissions.

Range anxiety, a common worry for non-EV drivers, seems less of a concern among Tusker drivers. In fact, 86% of EV users say their car’s range is sufficient for their daily needs, while 78% only need public charging once a month or less.

Kit believes incentives are crucial: “Incentives have played a critical role in supporting the uptake of EVs to date and it’s vital the government keeps these incentives stable to encourage more to switch.”

Given the high levels of satisfaction reported, Tusker anticipates further growth in EV adoption as salary sacrifice schemes continue to make electric driving more accessible and attractive to employees.

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Cutting the cost of public EV charging

 According to the RAC’s Fuel Watch, public EV charging is currently about 40% more expensive than petrol or diesel per mile and three times as expensive as charging at home.

The Charge Scheme, however, aims to reduce these public charging costs to be comparable to, or even lower than, those of driving petrol and diesel vehicles, thereby removing a financial obstacle to going electric.

“The Charge Scheme was an amazing surprise when The Electric Car Scheme shared it with me. I was sent a bright green charge card and easily downloaded the Charge Scheme app," says Pam Pinder, who has had an electric car through The Electric Car Scheme for two years, expects to save around £300 this year by using The Charge Scheme.

"I like the app functionality and that it shows me which charge points are available, which has made charging simpler.”

Similarly, John Godfrey, who secured an MG4 through salary sacrifice earlier this year, anticipates saving around £600 in his first year using the programme.

"Since I don't have a home charger I've been spending a lot on electricity from public charge points," he explains. "I was pretty relieved to find out there's a way to get some savings back through salary sacrifice. It'll likely save me more than £50 per month."

The new initiative could help EV drivers save up to £1,000 annually on charging. This estimate, based on a higher-rate taxpayer driving around 14,000 miles each year, adds to the financial advantages already offered by The Electric Car Scheme, where the typical employee saves around £3,800 per year on their EV.

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Greater charging accessiblity

The Charge Scheme works by providing employees with an app and a charge card linked to more than 50,000 public charging points across the UK, covering in excess of 60% of the country's EV charging network.

With a simple tap of the Charge Scheme card, employees can access available public chargers and the cost of each charge is automatically deducted from their next salary payment through salary sacrifice.

This approach not only simplifies the charging process for employees but also offers increased flexibility by allowing EV drivers to charge at home, at work or on the public network.

The scheme's integration into the existing salary sacrifice platform streamlines vehicle and charging costs into one manageable, user-friendly app.

A vision for affordable and sustainable EVs

The Charge Scheme is The Electric Car Scheme’s latest solution to address the affordability challenge, particularly for those without access to home charging.

Thom Groot, CEO and Co-Founder, The Electric Car Scheme

Despite the significant demand for EVs and sustainable transport options, EV uptake remains behind where it should be for us to meet net-zero and ZEV targets in 2030. 

Cost remains the primary barrier for more than two-thirds of potential adopters, according to our research, and this cost is increased significantly if you don’t have access to home charging and off-peak tariffs.

Thom Groot, CEO and Co-Founder, The Electric Car Scheme

By making EV ownership more economically feasible, the company aims to support a more sustainable future and accelerate the UK’s shift towards net-zero emissions. The company believes that schemes like these are essential for achieving these climate goals and fostering a greener transport system.

Alongside financial savings, The Charge Scheme supports businesses in improving employee wellbeing and financial health. With the added benefit of lower running costs and simplified access to charging, employers can make it easier for employees to make environmentally-responsible choices while benefitting from sustainable workplace initiatives.


Make sure you check out the latest edition of EV Magazine and also sign up to our global conference series - Sustainability LIVE 2025.


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