The Best Electric Salary Sacrifice Providers (2025 Guide)

Cars like the BYD Seal can be up to 50% cheaper when leased through a salary sacrifice scheme.

Cars like the BYD Seal can be up to 50% cheaper when leased through a salary sacrifice scheme.

The way UK businesses reward and retain staff is changing. With sustainability climbing higher on boardroom agendas and employees seeking benefits that make a real difference to their lives, the electric car salary sacrifice scheme has become one of the most popular workplace perks.

These schemes allow employees to lease an electric vehicle (EV) through a simple reduction in their gross salary, unlocking savings of up to 50% compared to a personal lease. Employers, meanwhile, benefit from reduced National Insurance contributions, stronger ESG reporting, and enhanced recruitment appeal.

But with a growing number of providers on the market, how do you choose the right one? In this guide, we break down the best salary sacrifice electric car schemes in the UK, comparing features, benefits, and costs — and helping you decide which is right for your organisation.

What is an Electric Car Salary Sacrifice Scheme?

A salary sacrifice electric car scheme is an employee benefit where staff give up a portion of their pre-tax salary in exchange for a brand-new electric vehicle. Because the payment is taken before income tax and National Insurance contributions are applied, the employee saves money while the employer also reduces its NI bill.

It’s a win-win: employees get an extremely affordable way to drive an EV (up to 50% cheaper), while employers can deliver a meaningful benefit that supports net zero goals.

How it works:

  1. Employer partners with a scheme provider.

  2. Employees choose an electric car from a wide selection of models.

  3. The monthly lease cost is deducted from the employee’s gross salary.

  4. Savings come from tax efficiencies, while the best packages usually also include insurance, maintenance, breakdown cover, tyres, and road tax.

Why Choose a Salary Sacrifice Electric Car Scheme?

For Employers

  • Boost your ESG credentials – contribute directly to the UK’s net zero target.

  • Attract and retain top talent – offering EVs can be more attractive than pay rises alone.

  • Reduce National Insurance costs – employers save alongside staff.

  • Low risk – most providers include early termination insurance and fully managed services.

For Employees

  • Up to 50% cheaper than personal leasing, thanks to tax and NI savings.

  • All-inclusive packages – insurance, servicing, tyres, breakdown cover included.

  • No upfront deposit – unlike traditional leasing.

  • Access to the latest EVs – from Tesla to Kia, with flexible contract lengths (although the best savings come with longer leases).

The Best Salary Sacrifice Electric Car Providers

Below we review some of the most prominent salary sacrifice providers in the UK. Each offers unique benefits, but the best choice will depend on your business size, sustainability priorities, and employee needs.

#1 - The Electric Car Scheme (Best Overall)

Highlights:

  • Highest employee savings on the market, with 20–50% depending on salary band

  • Access to the most popular brands and models available in the UK

  • Integration with The Charge Scheme for the same 20-50% savings for EV charging, as well as the largest public charging network in the UK

  • Extremely comprehensive customer support and minimal admin

The Electric Car Scheme has quickly established itself as a market leader in EV salary sacrifice, and in addition to being the first B-Corp in the sector, ECS has also been recognised by various awards for its innovation.

The scheme is built with both employees and employers in mind. Staff benefit from the maximum possible tax savings, while businesses receive dedicated ESG reporting tools and streamlined onboarding support.

👉 Best for: Employers seeking the least admin, and the most support + Employees seeking the best price.

#2 - Octopus Electric Vehicles

Highlights:

  • Backed by Octopus Energy

  • Bundled EV charging solutions

  • Strong renewable energy branding

Octopus EV is well-known for its sustainable branding and strong connection to Octopus Energy. They offer a good range of vehicles alongside charging and energy bundles, which can simplify the EV ownership experience for employees.

👉 Best for: Businesses already partnered with Octopus Energy or looking for integrated green energy packages + Employees already committed to the Octopus ecosystem.

#3 - Tusker

Highlights:

  • One of the longest-established providers

  • Works with large UK employers and public sector organisations

  • Strong focus on fleet management

Tusker has been around for years and is trusted by thousands of employers, particularly in the public sector. While their packages are reliable and comprehensive, some businesses may find them slightly less flexible compared to newer, more agile providers.

👉 Best for: Large organisations with established HR and payroll systems.

#4 - EZOO

Highlights:

  • Subscription-based EV model

  • Flexible short-term leases

  • Focus on innovation

EZOO takes a slightly different approach with its EV subscription service. This makes it ideal for companies unsure about long-term commitments or for employees who want flexibility. However, it may not always deliver the same tax efficiencies as traditional salary sacrifice schemes.

👉 Best for: Businesses exploring flexible or short-term EV options.

#5 - Pink Salary Exchange

Highlights:

  • Simple onboarding process

  • Packages tailored for SMEs

  • Competitive rates

Pink Salary Exchange has positioned itself as a flexible option for small and medium-sized businesses. They’re praised for their ease of setup and straightforward communication, though their vehicle range can sometimes be more limited compared to bigger providers.

👉 Best for: SMEs looking for an easy-to-implement EV benefit.

Key Factors to Consider When Choosing a Provider

Not all salary sacrifice electric car schemes are created equal. Before making a decision, consider:

  1. Range of vehicles – Are employees limited in choice or can they access all manufacturers?

  2. Total cost savings – Some providers offer better tax optimisation than others.

  3. Charging solutions – Does the scheme include workplace or home charging support?

  4. Customer service – How responsive and transparent is the provider?

  5. ESG reporting tools – Can you easily demonstrate sustainability progress?

  6. Risk management – Does the scheme include early termination cover or insurance?Conclusion: Which Salary Sacrifice Electric Car Scheme is Best?

Conclusion: Which Salary Sacrifice Electric Car Scheme is Best?

With more providers entering the market, it’s clear that EV salary sacrifice is here to stay. Businesses of all sizes can benefit from reduced costs, stronger ESG performance, and happier employees.

While providers like Octopus EV, Tusker, Pink, and EZOO all bring strong offerings to the table, The Electric Car Scheme stands out for its combination of model choice, maximum employee savings, integration, and dedicated ESG support.

If your business is ready to support staff with cleaner, cheaper driving while hitting sustainability targets, an Electric Car Salary Sacrifice Scheme is the smartest place to start — and The Electric Car Scheme is the best provider to get you there.

Bruno Collingridge

Bruno is a Marketing Intern at The Electric Car Scheme, helping to make Net Zero the obvious choice.

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How EV Salary Sacrifice Works For UK Businesses (2025)