Currently reading: Renault ends battery leasing for electric Zoe

Maker attributes improved residual values to change of strategy, removing need for battery fees

Renault has ditched the option of monthly battery leasing for its electric Renault Zoe, citing “significantly improved class-leading residual values, which enable a more competitive full purchase price”.

The Zoe has a predicted residual value of 42%, according to CAP, after three years and 36,000 miles. The supermini is priced from £25,670 (after the Government's £3500 plug-in car grant), £2325 less than the larger Nissan Leaf. On a PCP finance deal, the entry-level Zoe costs £269 per month with a deposit of £2995.

Until now, Renault has been the only mainstream brand to offer customers the opportunity to either buy an electric car outright or pay a lesser upfront amount plus a monthly battery leasing fee. Since 2014, when both purchase options became available, battery leasing has accounted for 60% of overall Zoe sales.

Renault said: “One of the main reasons that the battery lease option was initially introduced was to lower the initial purchase price of a Renault EV to be as close as possible to that of an equivalent diesel vehicle. The recent improvements to the RV [residual value] on the new Zoe in the UK mean that this financial gap has now been reduced and we are able to offer a simplified choice to consumers.”

Renault revealed its second-generation Zoe in September with a larger (53kWh) battery and up to 245 miles of range. It also received a restyling inside and out, plus a 10in digital instrument display and a 9.3in infotainment touchscreen.

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