Fall in off-peak slow charging costs offset by rises for rapid devices

The cost of off-peak slow public charging has dropped more than 10% in the past month to 33p/kWh, according to the May 2023 AA EV Recharge report.

Peak and off-peak rates for faster chargers continue to soar, however.

The end of government support for businesses providing charging, under the Energy Bill Relief Scheme (EBRS), has reversed reductions in off-peak and peak faster charging costs.

While some providers have been unable to carry the increased energy costs for too long, AA said it is hoped that this is a short-term blip and that faster charging costs can drop later in the year.

Peak rates for rapid chargers have reached almost £1 per kWh. In a larger EV, that means it would cost around £40 to add 100 miles of charge.

Peak slow charging (up to 7kW) dropped by more than a quarter, from 72p to 53p kWh. Off-peak charging at the slow rate outside a home is now on average below the Energy Price Guarantee of 34p/kWh.

With the Energy Price Guarantee extended until June 30, the AA says kerbside operators have changed tack to better reflect the offering available to electric vehicle (EV) owners with dedicated off-street parking using a specialist EV tariff provided by their energy supplier.

This new drop in charging costs outside homes comes as the eight-month fall in average petrol pump prices ends.

In the past fortnight, petrol has risen from a low of 143.04p a litre to 143.47p, having been in freefall from 166.54p a litre at the end of October.

For those EV owners using flat-rate tariffs, costs remain largely static.

The standard variable tariff for domestic electricity rates will be lowered to 30p/kWh from July 1. The reduction is down from the current 34p/kWh which has been in place since October 1, 2022.

Drivers support equalisation of VAT

A policy which drivers are keen to see equalised is the rate of VAT when charging in the public realm.

Domestic charging VAT is valued at 5% but increases to 20% away from home.

A survey of more than 11,500 drivers carried out last week by the AA found that more than half of drivers (56%) feel that VAT on public charging should be reduced to the 5% domestic energy VAT rate, with the AA calling for the Chancellor to act accordingly in his upcoming Budget this autumn.

Jack Cousens, head of roads policy for the AA, said: “Drivers without a driveway looking to switch to an EV will be happy to see off-peak kerbside charging now cheaper than the Energy Price Guarantee.

"This means they will feel some of the benefit EV owners with dedicated off-street parking have.

“While the vast majority of EV charging is carried out at home, for those travelling further afield the rise in prices for faster charging has damped the good news.

"We hope this is a minor blip as electricity prices are predicted to fall later this year. Savvy EV drivers heading on a summer road trip should plan their charging stops at cheaper locations or time their journey so they can take advantage of off-peak rates.

“This only highlights why reducing VAT on public charging from 20% to 5% is so crucial in helping more people switch to electric cars. The Chancellor can deliver some positive and popular news at the Budget and we urge him to do so.”

AA EV Recharge Report, May 2023. Flat rates:

AA EV Recharge Report, May 2023. Peak and off-peak rates: