The average price of a second-hand electric car has fallen by 6.7% in the last year, new data shared exclusively with Insurance Times by data enrichment experts Percayso reveals.

 

The fall has been driven by the collapse in value of Tesla cars: A second-hand Tesla fell by 15.2% to an average of £22,594 in the year to May 2025. Excluding Tesla, the average price of a second-hand electric vehicle fell by 7.4% year-on-year from £28,174 to £25,151.

The value of second-hand electric cars recovered in May, with the average price rising by 0.7%, the first monthly rise since January.

Bucking the decline, electric Minis and Polestar vehicles gained value, with the average price of a second-hand electric Mini up 18% in a year to £22,606, and Polestar up 5.9% to £29,678.

Petrol cars also bucked inflationary trends to end the year to April 2025 3.5% cheaper and Diesel car values fell by even more, ending the year down 6.6% year-on-year.

 

 

Hybrid vehicles were the only engine type to hold their value after a strong rally at the start of the year. Values are up 3% in the year to date, and 0.3% over the last 12 months.

The data is supplied by Percayso Inform. Its Vehicle Intelligence platform ingests over three million adverts consisting of circa 800,000 unique VRMs from classified and trade sources on a daily basis, feeding a comprehensive market view with many billions of historical data points.

Managing director Richard Tomlinson commented: “Having granular information about car valuation is critical for both claims and underwriting departments. “For underwriters, understanding the trends of valuations helps with accurate, fair, and competitive pricing. When it comes to claims, it informs settlement offers. With half a million cars written off each year this is important to get right. Too high and the insurer ends up having to increase prices and risk losing market share, too low and you could enter into a protracted negotiation with the client and land in hot water with the FCA, which is looking closely at total loss settlements.

“In terms of vehicle trends, electric car values have been affected by ongoing concerns about range and charging infrastructure. Tesla has been hit the most as the brand is out of favour, but there is more to it than that. A surge of electric vehicles entering the second-hand market has a dampening effect on prices too. There were 47,410 on the market last month, more than double the 17,627 recorded in June 2023.

‘Hybrids are proving to be the sweet spot for many consumers who are keen on electrified motoring but not yet fully prepared to give up the reliability and familiarity of a petrol pump. “Overall, the data changes every month and no vehicle model or age is the same. A live valuation methodology, based on real retail examples, reflects market fluctuations instantaneously, equipping insurers with evidence that builds trust and leads to quick and robust total loss offers.”

To find out more about Vehicle Intelligence, go to: https://www.percayso-inform.com/lets-talk/