Rising diesel prices are putting pressure on businesses that rely on vans, prompting more operators to consider whether switching to electric could reduce their running costs. Research commissioned by Volkswagen Commercial Vehicles suggests that businesses charging their electric vans at home or at a depot could significantly cut their annual energy bills.
The survey findings published by the Society of Motor Manufacturers and Traders (SMMT) from research conducted by OnePoll in December 2025 among 1,000 UK van drivers found that 58% cited the difference between fuel and charging costs as a key reason to consider switching. Meanwhile, 66% believed electric vans were suitable for their business, and 61% planned to purchase an electric van within the following 12 months.
How Much Could Businesses Save By Switching To Electric?
Volkswagen Commercial Vehicles commissioned research suggesting that van drivers could reduce their annual energy costs by up to 87% by switching from diesel to electric.
According to the findings, the average UK van driver travels 13,190 miles a year, with estimated annual diesel costs of £2,770 compared with £369.24 for an electric van charged at home or overnight at a depot. This represents a potential saving of around £2,400 a year, although actual costs will depend on electricity tariffs, charging habits and vehicle use.
Businesses can use our fuel cost calculator to compare their own vehicle expenses.
The survey of 1,000 UK van drivers, conducted by OnePoll in December 2025, also found that 58% cited the difference between fuel and charging costs as a key reason to consider switching. Meanwhile, 66% believed electric vans were suitable for their business, and 61% planned to purchase an electric van within the following 12 months.
On these assumptions, the difference amounts to more than £2,400 in potential annual energy savings. Volkswagen’s headline figure of an 87% reduction reflects the comparison between these specific diesel and electricity costs.
However, businesses should treat these figures as an illustration rather than a guaranteed saving. For businesses that allow employees to charge company vehicles at home, reimbursement is another factor to consider when calculating the overall cost of running an electric fleet. Our guide to home EV charging reimbursement for fleets explains the considerations involved in paying employees back for electricity used on business journeys.
Electricity tariffs, charging habits, annual mileage and vehicle efficiency will all influence the final cost. Operators relying heavily on public rapid chargers may face substantially higher electricity bills than those able to charge vehicles overnight at home or at a depot. The cost difference between domestic and public charging can have a significant impact on the financial case for switching. Our article on how a VAT cut on household electricity could widen the EV charging cost gap examines the potential implications for electric vehicle running costs.
Businesses considering the practicalities of switching should also read our guide to how EV charging works for businesses, which explains the charging considerations involved in running electric vehicles commercially.
Running Costs Are Only Part Of The Decision
Energy costs are an important consideration when choosing a commercial vehicle, but businesses also need to assess the wider financial implications of switching to electric.
Maintenance, leasing payments, insurance, payload requirements and the availability of charging facilities can all affect the overall cost of running a fleet. Electric vans may offer lower routine servicing costs, although the actual benefit will depend on the vehicle and how it is used.
Volkswagen Commercial Vehicles says the combination of potentially lower energy expenditure, reduced servicing requirements and quieter operation is making electric vans an increasingly attractive option for businesses.
For operators covering predictable daily routes and returning to base regularly, charging overnight could make the transition particularly appealing. Businesses undertaking longer journeys or working across multiple locations may need to examine charging availability and journey requirements more closely before committing. Charger availability is not the only consideration, as unreliable charging facilities can also disrupt working schedules and increase downtime.
Our guide to EV charger reliability and electric van leasing explores why charging dependability matters to businesses operating electric vans. The continued expansion of charging facilities will be an important factor in making electric vans practical for more businesses. Read our update on EV charging infrastructure growth for more on the development of the UK’s charging network.
For businesses planning journeys beyond their usual operating areas, the availability of public chargepoints is another important consideration. Our guide to the UK EV charging network provides further information for drivers and operators planning to charge away from their base.
Developments in rapid-charging technology could also influence how businesses plan longer journeys and manage vehicle downtime. We look at BYD’s plans for 300 flash chargers in the UK and what the proposed infrastructure could mean for electric vehicle charging.
Our guide to electric vans versus diesel vans explores the differences between the two powertrains, helping businesses assess which option may be better suited to their needs.
Volkswagen’s Electric Van Range
Volkswagen Commercial Vehicles offers businesses a choice of electric vans for moving away from diesel, including the Volkswagen ID. Buzz Cargo, which has a manufacturer-quoted WLTP range of up to 277 miles, and the Volkswagen e-Transporter, with a quoted range of up to 225 miles, depending on specification.
Both models are available to explore through our guides to the ID. Buzz Cargo and Volkswagen Transporter. Businesses requiring greater load capacity or working space can also consider the Volkswagen Crafter, although its available powertrains and specifications should be checked against individual requirements.
Actual electric range will vary with factors such as payload, weather, driving style and use of heating or air conditioning. For an overview of the wider range, visit our Volkswagen van leasing page.
Businesses should therefore consider their typical working mileage and payload requirements when comparing electric models. Businesses should also consider everyday charging habits when planning how electric vans will be used and maintained. Our guide explains whether you should charge an EV to 100% and what drivers should know about charging their vehicle’s battery.
Businesses looking at electric vehicles for passenger transport as well as commercial work can also consider the Volkswagen ID. Buzz Life Pro six-seat model.
Operators exploring the wider market can read our guide to electric van leasing for UK businesses to learn more about the considerations involved in choosing an electric commercial vehicle.
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