Depreciation estimates impact leasing and financing deals, leaving EVs often overpriced. Accurate estimates should make leasing companies, carmakers and governments accelerate the EV shift, says T&E
Electric cars are retaining their value better than the leasing industry claims, new T&E analysis shows. This has major implications for potential buyers and the pricing of leasing deals and puts pressure on leasing companies, carmakers and governments to accelerate the EV shift, says T&E.
The discrepancy stems from how the value loss is calculated. The industry commonly relies on used-car transaction estimates for leasing and financing deals. In the four largest EU markets – Germany, France, Italy, and Spain – 2025 data on used transactions shows a 12.9 percentage point depreciation gap between combustion and electric cars [1]. However, T&E analysis reveals five key variables are omitted from these calculations. Adjusting for them reduces the gap by 80% to just 2.6 percentage points. (....)