• Eight out of 10 used car dealers (83%) say the fact Tesla Model 3s have dipped under £10,000 for the first time is key development
• 38% agree this price point is an important psychological barrier for people buying their first electric car
• However, 10% say consumers in this part of the market are risk averse and prefer petrol power, shows June’s Startline Used Car Tracker

June’s Startline Used Car Tracker shows 38% say this price point is an important psychological barrier for those potentially buying their first electric car.

Also, 31% say consumers view the Model 3 as a practical, well-equipped family car that just happens to be electric and 17% say Tesla batteries are reliable and lose little range over time.

Few dealers disagree with these sentiments. Just 10% believe consumers with £10,000 to spend are risk averse and prefer petrol or hybrid, 7% that supply of the Model 3 remains low compared to the overall market and 5% that there are too many other barriers, such as access to charging, stopping people buying electric cars.

Paul Burgess, CEO at Startline Motor Finance, said: “The volumes of electric cars entering the used market are increasing ever more rapidly and, as a result, prices are falling while choice is increasing. There are now a number of options available under £10,000 but the Model 3 is probably the most suitable for everyday family needs, has a good reputation for battery reliability, offers useable range and is well-equipped.

“It is, as many dealers in our research have said, a strong used buy that just happens to be electric and at under £10,000, may convince many more people to go electric.”

The Startline Used Car Tracker also asked dealers which other sub-£10,000 used cars they thought likely to tempt buyers to electrify. Responses included the BMW i3 (mentioned by 59%), Peugeot e208 (37%), Hyundai Ioniq (36%), Nissan Leaf (34%), Renault Zoe (17%) and MG4 (14%).

Paul said: “There are many good cars here now reaching price levels that make them much more accessible to a wider range of buyers.”

The Startline Used Car Tracker is compiled monthly for Startline Motor Finance by APD Global Research, well-known in the motor industry for their business intelligence reporting and customer experience programs. This time, 317 consumers and 70 dealers were questioned.