Motorists could ditch petrol and diesel cars as electric vehicles become cheaper option for millions
Drivers could become more enticed to give up petrol and diesel cars in favour of electric vehicles, which have become more popular across the UK.
It comes after reports revealed that used electric and hybrid vehicles have experienced dramatic drops in prices in the past 12 months, with values plummeting by as much as 31 per cent.
Prices now represent a significant shift in the automotive market as the UK pushes towards its ambitious Zero Emission Vehicle mandate.
Under the mandate, it requires all new car sales to be electric by 2030, with at least 28 per cent of sales being electric by this year.
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Electric vehicles could see a huge uptake due to lower prices in the used car market
Research has revealed that nearly every leading electric and hybrid model suffered double-digit price reductions during the second quarter of the year.
The average cost of used electric and hybrid vehicles dropped 12.8 per cent compared to the previous year, the report suggested.
The Lexus RX hybrid experienced the most severe depreciation, losing 31 per cent of its value annually.
Other significant declines include the Renault Zoe, which shed 21 per cent, and the Nissan Leaf dropping 20 per cent.
Tesla's Model 3 has become considerably more accessible, with prices falling by more than £4,400 within the past 12 months.
The vehicle now averages £19,087 on the used market, compared to £23,582 during the same period last year.
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|Several popular electric car models have seen prices cut in the past 12 months
But premium models have not escaped the downward trend, with the BMW 3 Series hybrid decreasing by 9.4 per cent, while the Mitsubishi Outlander hybrid lost nearly 17 per cent of its value.
Even Toyota's popular hybrid range saw substantial reductions, with the Prius declining by almost 19 per cent year-on-year.
The surge in available stock has reportedly stemmed from early-generation electric and hybrid vehicles being released from fleet and leasing agreements.
These vehicles have now been flooding the used car market, providing buyers with unprecedented choice at increasingly competitive prices, experts explained.
Experts have now stated that the used car market could be key to helping the UK meet its ZEV mandate as electric vehicle prices become more affordable.
While electric vehicles face widespread depreciation, certain petrol and diesel models have demonstrated resilience, the report revealed.
The Volkswagen Polo hybrid increased in value by 9.4 per cent annually, emerging as one of the strongest performers in the conventional vehicle category.
The Vauxhall Corsa appreciated by seven per cent year-on-year, while the Volkswagen Tiguan gained seven per cent in value over the same period.
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|Electric vehicles have seen price drops by roughly a third in some cases
However, the petrol and diesel market remains inconsistent with the Ford Fiesta depreciating by 11.7 per cent annually, while the Ford Focus dropped 6.6 per cent.
Overall, average prices for popular petrol and diesel vehicles increased marginally by 1.1 per cent year-on-year, concealing significant variations between individual models.
James Hosking, Director of AA Cars, said: "Used EV prices have fallen off a cliff in the past year, and for drivers who've been priced out of electric motoring until now, this is a genuine turning point.
"Concerns around charging access, battery range and long-term running costs haven't gone away."