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Electric Car Salary Sacrifice

Helping employers get their people into electric cars with salary sacrifice 

The UK government is committed to making the UK carbon neutral by 2050 and recent analysis shows that we are about halfway towards reaching this goal. A core part of the carbon reduction strategy is the switch to electric cars and, thanks to rapidly increasing adoption rates, we are now heading towards a tipping point where electric cars are accepted as the norm for individuals and businesses.

What is Salary Sacrifice?

Put simply, a Salary Sacrifice scheme enables employees to exchange part of their pre-tax salary in return for a brand new car. Employees will pay for the vehicle through a GROSS (before tax & NI) Salary Sacrifice each month which in turn reduces their PAYE, National Insurance contributions and Benefit-In-Kind (BIK) tax.

Why Salary Sacrifice with Novuna is right for your business

An Electric Car Salary Sacrifice scheme from Novuna Vehicle Solutions helps you attract and retain the best talent, whilst reducing your carbon footprint and the overall cost of motoring. Here are just some of the many benefits to you as an employer:


Carbon reduction

Reduced risk

Staff retention

Manufacturer support

Hear how we are helping businesses like Canary Wharf Group Plc switch to electric

We chose Novuna because they were the best offering out there. We love the portal and the team have been great to work with getting this all up and running.


Danny Kingsmill

Head of Payroll and Pensions

Canary Wharf Group Plc

Why Salary Sacrifice is right for your employees

The car is one of the biggest expenses in a household and also one of the biggest impacts on your employee’s individual carbon footprint. However, this can all change when they become part of your Electric Car Salary Sacrifice scheme.

  • Less Tax 

    When employees exchange part of their salary for a brand new car, part of their income tax is replaced with lower Benefit in Kind taxation. They also pay less National Insurance contributions.

  • Cheaper motoring

    Because Salary Sacrifice schemes focus of fully electric and Ultra Low Emission Vehicles (ULEVs) there are even more savings to be had, including zero road tax and a reduction in fuel costs of up to 85%.

  • Fewer emissions

    The Committee on Climate Change reports that the average home could save up to 2 tonnes per year in CO2 for each vehicle they switch to electric.

What your employees will get with salary sacrifice 

A brand new electric car of their choice

Home charge point fitted by British Gas

No credit check or up front deposit

Maintenance and road tax included

Car insurance for up to 3 drivers

Helping your employees make the right choice with our EV Hub

Our EV Hub is an online portal designed to ensure employees are fully informed on all considerations associated with having an electric car as part.

The easy to use search facility covers all electric cars and Plug-In hybrid electric vehicles on the market, with the ability to filter the results by what really matters to them. Whether it’s vehicle range, charging speed or even vehicle boot space, they can search and compare all available vehicles to find their perfect electric car.

It is proven to improve electric car uptake, by proactively addressing common concerns/myths associated with having an electric car, and in turn building confidence in ordering an electric as part of a Salary Sacrifice scheme

We do everything for you

With us it's simple. Our Waiver Programme will manage costs that we are unable to deduct from your employees due to a change in circumstances, some examples include Maternity & Adoption, Sickness, Early Leavers and Damage.

We will fully manage all administration with your employee and advise you of any agreed additional payroll deduction. Any disputed cost will be fully managed by us and we will define how this is balanced at implementation of your scheme.

Want to find out more?

Speak to us today about offering your employees the ultimate employee benefits with a greener, more cost effective electric car salary sacrifice scheme. Simply complete the form below and one of our team will be in touch.

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Novuna Vehicle Solutions is a trading style of Mitsubishi HC Capital UK Plc. Other brand names under which we trade include Novuna Consumer Finance, Novuna Personal Finance, Novuna Business Finance and Novuna Business Cash Flow.

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