Best Plug-In Hybrid Company Cars: Blending Tax Benefits and Practicality
Plug-in hybrid electric vehicles (PHEVs) offer a unique blend of low taxation, reduced CO2 emissions, and practicality, making them an excellent choice for business users. With a combination of an internal combustion engine, an electric drive motor, and a battery, PHEVs can be charged like pure battery electric vehicles, providing a significant electric range. When the battery runs out, they can rely on petrol or diesel power, eliminating range anxiety.
One of the main advantages of PHEVs for company car users is the significant reduction in CO2 emissions, resulting in lower benefit-in-kind (BiK) bills. While most internal combustion engine cars are taxed at around 27% of their value, PHEVs have a much lower tax rate, ranging from 12% to 5%, depending on the electric range. The greater the EV range, the lower the tax rate.
Although the recent focus on full electrification has resulted in a decline in PHEV popularity among manufacturers, there are still plenty of options available. Here are our top 10 plug-in hybrid company cars across various categories:
1. BMW 5 Series: The BMW 530e offers a powerful and efficient drivetrain, excellent ride and handling balance, and top-notch refinement. With a 19.2kWh battery, it provides an impressive EV range of over 60 miles, resulting in a tax-friendly BiK rating of just 8%.
2. Skoda Superb: The Skoda Superb iV combines excellent EV range, a vast interior, and good driving dynamics. Its larger 25.7kWh battery pushes the pure electric range beyond 60 miles, lowering the BiK rating to 8%.
3. Mercedes C-Class: The Mercedes C300e combines impressive refinement, a cushioned ride, and strong performance. While it may not be as dynamic as some competitors, its 70-mile EV range and 8% BiK rating make it an attractive choice.
4. Range Rover: The Range Rover P460e offers unrivaled off-road ability, exceptional comfort, and a luxurious cabin. Despite its large size, it handles surprisingly well, and its over 70-mile EV range results in a BiK rating of just 8%.
5. Citroen C5 X: The Citroen C5 X stands out with its distinctive styling, easy-going driving experience, and spacious interior. Although its EV range is limited to 39 miles, it offers a comfortable ride and a lower 12% BiK rating.
6. VW Golf: The VW Golf GTE provides a happy blend of ride and handling, an excellent EV range of 88 miles, and handy dimensions. With a BiK rating of just 5%, it’s a safe bet for business users.
7. Peugeot 508 PSE: The Peugeot 508 SW PSE combines expensively engineered chassis, head-turning style, and family-friendly practicality. Its 26-mile EV range and higher 12% BiK rating are offset by its performance and spacious interior.
8. Porsche Panamera: The Porsche Panamera Turbo e-Hybrid offers staggering performance, sports car agility, and an impressive EV range of 59 miles. With a BiK rate of 8%, it’s a top choice for executives.
9. Toyota C-HR: The Toyota C-HR PHEV stands out with its smart styling, capable chassis, and smooth hybrid powertrain. While it may have a limited EV range of 41 miles, its 8% BiK rating and eye-catching design make it a compelling choice.
10. Cupra Formentor: The Cupra Formentor V1 eHybrid offers engaging driving dynamics, eye-catching visuals, and strong performance. Despite its PHEV powertrain starting to feel its age, its attractive price tag and 12% BiK rating make it an appealing option.
Overall, these plug-in hybrid company cars offer a range of benefits, including lower tax rates, reduced CO2 emissions, and practicality. Whether you’re a sales rep or a CEO, there’s something on this list for everyone. Consider your specific needs and preferences to find the perfect plug-in hybrid company car for your business.
