About the study
Novated Lease Australia surveyed 1,000 Australians to gauge whether the purchase price of electric vehicles is too expensive and a major barrier for Australians to switching from their current vehicle.
Respondents were also asked whether a novated lease arrangement, to reduce the purchase price and running costs of an electric vehicle, would influence their decision to make a switch.
Respondents who did not own a car were asked to answer the survey questions as though they did.
The pool of survey respondents matches the age and geographical spread of the Australian population.
Are Australians deterred by the purchase price of electric vehicles?
Novated Lease Australia sought to uncover the proportion of Australians that believe the purchase price for an electric vehicle is too high, and if the price was a major barrier to switching from their current vehicle.
The survey found:
- 84% of Australians believe the price of electric vehicles is too expensive and a major barrier to switching their vehicle to an EV
- 15% do not believe electric vehicles are too expensive
- 1% already own an electric vehicle
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Attitudes to EV cost by age
Older respondents are more likely to be deterred by the high purchase price of electric vehicles, with 88% of over-51s believing the cost was too expensive and a major barrier to switching from their current vehicle.
This compares with:
- 82% of people aged 31-50 years
- 81% of under-30s
In contrast, a small, yet higher proportion, of younger respondents weren’t deterred by electric vehicle costs, with 17% of under-50s indicating this. This compares with 12% of over-51s.
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State-by-state breakdown of attitudes to EV cost
Similar proportions of respondents across the states believe electric vehicles are too expensive and a major barrier to switching from their current vehicle.
This included:
- 85% of West Australians
- 84% of NSW, Queensland and Victorian respondents
- 80% of South Australians
In contrast, 20% of respondents living in South Australia indicated that the price of electric vehicles did not impact their decision to switch to one.
This compares with:
- 15% of Queenslanders and Victorians
- 14% of NSW and WA respondents
Queensland, Western Australia, South Australia and New South Wales are currently the only states or territories offering a rebate to eligible EV.
Is the purchase price for an electric vehicle too expensive and a major barrier? State-by-state:
| State | Yes | No | I already own an EV |
|---|---|---|---|
NSW | 84% | 14% | 2% |
VIC | 84% | 15% | 1% |
QLD | 84% | 15% | 1% |
SA | 80% | 20% | 0% |
WA | 85% | 14% | 1% |
ACT | 94% | 6% | 0% |
Would Australians be motivated to switch to an EV if they could save through a novated lease?
Novated Lease Australia asked survey respondents if they were more likely to switch to an electric vehicle if they were offered a novated lease through their employer, to potentially reduce the purchase price and running costs.
The survey found:
- 46% of Australians would switch to an electric vehicle through such a novated lease
- 54% would not
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Switching to an EV with a novated lease by age
Novated Lease Australia analysed respondents across age groups and found that younger Australians are most likely to consider switching to an electric vehicle through a salary sacrifice car arrangement with their employer, with 59% of under-30s open to switching.
This compares with:
- 54% of people aged 31-50 years
- 32% of over-51s
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Switching to an EV with a novated lease by state
Across the states, similar proportions of respondents indicated they would switch to an electric vehicle if they could access one through a novated lease.
This included:
- 48% of people in New South Wales and Western Australia
- 45% of Victorians and Queenslanders
- 41% of South Australians
Would you be more likely to switch to an electric vehicle if your employer offered you a novated lease, to reduce the purchase price and running costs? State-by-state:
| State | Yes | No |
|---|---|---|
NSW | 48% | 52% |
VIC | 45% | 55% |
QLD | 45% | 55% |
SA | 42% | 58% |
WA | 48% | 52% |
ACT | 41% | 59% |
Novated lease guides
Need more information? Read our easy-to-understand novated lease guides.
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Written by
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CEO
Bevan Guest
Reviewed by
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Editor
Sean Callery
