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Labour’s electric car push leaves drivers facing higher car insurance bills as petrol cars deemed cheaper

Drivers of popular vehicles have been warned of car insurance spikes coming in a few months, according to shocking reports.

The figures revealed how motorists who can only drive automatic cars are being charged far more for insurance than those with manual licences.

Research by price comparison website Quotezone.co.uk found that automatic-only drivers are paying almost double for cover.

Between April and June 2025, drivers with automatic licences paid an average of £1,296 a year, while manual drivers paid just £696.

This marked a whopping 84 per cent difference, adding hundreds of pounds to already rising motorists’ costs throughout the UK.

With car insurance already at record highs, the findings highlighted a growing problem for millions of drivers who are now paying more than enough for cover.

Automatic cars have become more common on UK roads in the past few years, with reports finding a sharp rise since 2014, when just 16 per cent of cars were automatic. By the end of 2024, this figure had risen to 29 per cent.

One major reason for the switch was the rush to buy an electric vehicle. Almost all electric cars are automatic. With new petrol and diesel cars set to be banned from 2030 under the Zero Emission Vehicle mandate, more drivers have been naturally moving towards automatics.

Electric car charging and a car insurance policy

At the same time, more learner drivers have been choosing automatic-only licences. In just one year, the number taking automatic tests jumped by 123 per cent.

Many learners have viewed automatic cars as easier to drive, especially in heavy traffic, while others are choosing electric or hybrid cars to avoid congestion charges and clean air penalties.

But while automatic vehicles may be simpler to drive, they are proving much more expensive to insure, the experts warned.

The gap in insurance prices was the worst in April when automatic-only drivers paid an average of £1,358, compared to £710 for manual drivers. a difference of almost £650.

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The gap narrowed slightly in May and June, but automatic drivers still paid more than £1,260 a year throughout the period.

Insurance companies explained how automatic cars cost more to repair due to them often containing complex gearboxes, advanced electronics, and specialist parts.

When these cars are involved in accidents, repair bills are higher, with insurers subsequently passing costs on to drivers through higher premiums.

Greg Wilson, chief executive of Quotezone.co.uk, said insurers often see automatic cars as a higher risk. “Automatic vehicles can be easier to drive in busy towns and cities,” he said. “But insurers often charge more because repairs are more expensive.”

car insurance

He warned that the issue is likely to get worse as more drivers move away from manual cars. “With the petrol and diesel ban just five years away, and more learners choosing automatics, the number of automatic cars on the road will continue to rise,” he said.

However, he said drivers can still take steps to cut their insurance costs. “The most important thing is to shop around,” he said. “Comparing prices can make a big difference.”

Drivers can also lower costs by reducing annual mileage, parking in safer locations, and being careful about who is named on their policy.

The expert also suggested drivers could save money by using telematics policies, which track how safely people drive.

LP Staff Writers

Writers at Lord’s Press come from a range of professional backgrounds, including history, diplomacy, heraldry, and public administration. Many publish anonymously or under initials—a practice that reflects the publication’s long-standing emphasis on discretion and editorial objectivity. While they bring expertise in European nobility, protocol, and archival research, their role is not to opine, but to document. Their focus remains on accuracy, historical integrity, and the preservation of events and individuals whose significance might otherwise go unrecorded.

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