Electric car subsidy: statistics office figures behind the social component

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More money in the household increases the likelihood of buying an electric car. This connection, unsurprising given the generally higher prices and limited availability of used electric cars, is confirmed by a recent analysis from the Federal Statistical Office based on data from 2023. It underscores the importance of the social component of the new electric car subsidy, which will be granted to private individuals from the beginning of 2026 for the purchase or lease of a new electric car or plug-in hybrid (BEV or PHEV).

Of the total six percent of owners of such (partially) electric vehicles in 2023, only 1.3 percent were households with a monthly net income below 2600 Euros. Between 2600 and 3600 euros, it was 3.5 percent, and between 3600 and 5000 euros, it was 5.4 percent. With a net income of over 5000 euros, 13.4 percent were already equipped with one or more BEVs or PHEVs.

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• Elektroautos Kia EV3 und Skoda Elroq: Ausstattung und Kosten im Vergleich
• Gebrauchte Elektroautos bis 20.000 Euro: Sieben Modelle im Vergleich
• Elektroautos von 30.000 bis 45.000 Euro: Für Familie, Langstrecke und Komfort
• Elektroautos bis 30.000 Euro: Vom Kleinstwagen bis zum Kompakt-SUV

It is obvious that a certain proportion of households cannot or do not want to afford the still partly more expensive electric cars, and at the same time, the used car market does not yet offer a viable alternative due to the limited availability of contemporary vehicles. The newly reintroduced purchase premium addresses this and is intended to provide greater support to financially weaker households. The subsidy ceiling is therefore tiered. It covers household incomes of up to 80,000 euros. The basic subsidy for a battery-electric car is then 3000 euros for a PHEV 1500. Households with an annual income of up to 60,000 Euros receive 4000 Euros for a PHEV 2000, and those with a taxable annual income of 45,000 Euros receive 5000 Euros subsidy for a BEV and 2500 for a PHEV.

New electric cars for 5900 Euros

First manufacturers like Stellantis have already reacted and are trying to attract customers with price reductions in the wake of the subsidies. A family with two children in the lowest income bracket can currently acquire the cheapest electric car on the market, a Dacia Spring, for 5900 euros thanks to the subsidy amount of 5000 euros. The brand is waiving 5000 euros for private customers and small businesses on the vehicle price or lease or financing offer for registrations up to September 30, 2026, until February 28, 2026. Incidentally, this example shows that current prices apparently still offer a lot of room for maneuver. If the premium triggers competition in this way, it would possibly be in the interest of further customer groups.

Used cars, however, are not subsidized. Associations and parties criticize that this overlooks great potential. With 48.5 percent, a large majority owned at least one newly purchased electric car or a newly purchased plug-in hybrid, while only 15.2 percent of households owned a corresponding used car.

Couples with children

Families with children are already above-average buyers of electric cars. While only 7.5 percent of couples without children in the household drove electric, 11.5 percent of couple households with non-adult children owned at least one BEV or PHEV. 10.6 percent of all e-mobile couples had one child, 12.6 percent had two, and 10.7 percent had three or more children. The contrast to 2.2 percent BEV or PHEV ownership among all single individuals is high.

The fact that families with children support climate-friendly mobility is likely due to the age of this demographic group. Their responsibility, extending into the future, probably contributes to the decision. The subsidy supports the cars that are already popular with families. For each child, the subsidy increases by 500 euros, with a maximum of two children being considered.

New registrations are increasing

Registration numbers are rising steeply in Germany: in 2025, around 30 percent of all newly registered passenger cars were BEVs or PHEVs. In 2024, both drive types together accounted for 20.3 percent of all new registrations in Germany. In total, 856,545 passenger cars were registered for the first time last year that can drive purely electrically for at least a few kilometers. Among these were 545,142 BEVs, which accounted for 19.1 percent of all passenger car new registrations in 2025, while in 2024 it was only 13.5 percent. For 2026, the industry expects 740,000 to 800,000 new BEV registrations. The latter figure was also mentioned by the federal government when presenting the electric car subsidy on January 19. With the help of the many new models that will be released soon, this estimate does not seem entirely unlikely.

(fpi)