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PHEVs The Stepping Stone to an Electric Future

 Published 4th April 2024
General Guides  Low Emission Vehicles 

PHEVs (Plug-in Hybrid Electric Vehicles) combine a conventional internal combustion engine with an electric propulsion system and a battery that can be charged by plugging into an external power source, such as an electrical outlet or a charging station. They are a fantastic way to reduce vehicle running costs and minimise your carbon footprint. PHEVs come with an ICE (Internal Combustion Engine), like traditional cars, which can propel the vehicle and charge the battery, but also an electric motor which can drive the vehicle independently of the ICE or work with it for additional power. The electric motor serves several important purposes, including primary propulsion, acceleration assist, regenerative braking, electric-only driving, auto start/stop and more.

At Gateway2Lease, we have a wide range of PHEV lease deals on all the top models for you to explore, and you can save money and reduce your carbon footprint in no time.

How are PHEVs and Mild Hybrids different?

PHEVs and mild hybrid vehicles share many similarities, in the sense they both have a traditional engine and an electric motor, but they also have a range of differences that should be considered when looking for PHEV lease deals in the UK, including the following:

  • Battery Capacity and Charging

  • PHEVs have larger battery packs than mild hybrids which can be charged by plugging into an external power source, such as a standard electrical outlet or a charging station. A mild hybrid battery is charged through regenerative braking and the ICE.

  • Electric-Only Range

  • PHEVs have an electric-only range that can cover short commutes or city driving without the need for the ICE, whereas mild hybrids require the ICE for any propulsion.

  • Electric Power Use

  • In a PHEV, electric power is the primary source for propulsion for a certain range, with the ICE serving as backup when needed. In a mild hybrid, electric power is used to assist the ICE with acceleration and low-speed driving as a way to reduce fuel consumption and emissions.

  • Fuel Efficiency

  • PHEVs and mild hybrids generally offer better fuel efficiency and lower emissions compared to traditional ICE vehicles, but since the electric motor in a mild hybrid can’t propel the vehicle, it will still rely on traditional fuel for power.

Are PHEVs cheaper than EVs?

The comparative costs between PHEVs and EVs can vary depending on several factors, including the make and model, government incentives and overall market conditions, but PHEV upfront costs tend to be cheaper since they have smaller battery packs and often use existing ICE platforms, reducing manufacturing costs.

However, when it comes to ongoing running costs, a PHEV will not be as cost-effective as an EV as the price of traditional fuel is typically higher than units of electricity, meaning it will cost you more in a PHEV to complete a journey than in an EV. Also, ICEs have more moving parts than EVs so a PHEV will incur greater repair bills over its lifetime.

It is a matter of comparing the initial outlay and running costs of both vehicle types and then factoring in the most essential information, your driving style, habits and usage.

How are PHEVs better than ICEs for the environment?

One of the main reasons people opt for PHEV lease deals is to help do their bit for the environment as a PHEV offers significant eco-friendly improvements over ICE vehicles, including reduced greenhouse gas emissions, improved fuel efficiency and reduced air pollution.

A PHEV can be charged using electricity from renewable energy sources such as wind, solar or hydroelectric, contributing towards a more sustainable energy system, PHEVs are also known to operate quieter than ICEs, thanks to their electric motors, meaning noise pollution and disturbances are minimised.

Financial incentives for driving a PHEV

When it comes to the running costs of a PHEV compared to an ICE, there is quite a significant annual difference that must be noted when looking for PHEV lease deals in the UK. A great way to demonstrate this is to take an average of 7,500 miles per year driven and show the costs of both a PHEV and ICE version of the same car model, as we have done below with the Volkswagen Tiguan.

The VW Tiguan petrol car comes with a capacity of 15.3 gallons and can achieve 459 miles from a full tank. The current UK average petrol price per litre is £1.41, meaning the petrol version of the VW Tiguan costs £0.21 per mile and would have an annual bill of £1575.

The electric motor on the PHEV can be completely charged for £2.91 and has a range of 120 miles, making the per-mile cost a mere £0.02. So, if you use less than 120 miles between charges at home, then your annual fuel bills for 7500 miles would only be £150 at current prices.

Also, a PHEV will be eligible for many savings, such as entering low-emissions and clean-air zones, reduced car tax and any local and national incentive schemes that are introduced.

How does leasing a PHEV work?

Much the same as leasing any car. The first step is to check out the fantastic PHEV lease deals at Gateway2Lease or browse the fantastic range of PHEV, ICE and EV models available. Once you have found your next dream car, select your ideal lease options from our flexible terms and click ‘Get Quote’. A member of our helpful team will be in contact to discuss the finer details and ensure you have the ideal deal and car for you, making driving a delight.

If you have any questions about any specific models or would like further details about PHEVs, chat with one of our experts, who are more than happy to help.



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