Forget the Dacia Spring — Leapmotor doubles its EV grant to offer Britain's cheapest new car for just £12,995

• Leapmotor doubles the size of its contribution to the T03
• The extra boost brings the price down to £12,995
• Tiny EV can manage up to 165 miles on a single charge

Leapmotor is celebrating the first anniversary of its Leap-Grant scheme, which sees the Chinese manufacturer contribute to the price of a new vehicle, by doubling the amount it's offering to put down for buyers.

As of July 1, the brand says it will offer a £3,000 overall contribution for retail customers of the diminutive T03 electric city car, making the T03 the most affordable new car of any fuel type for UK buyers, according to Leapmotor.

The brand, which has only been in the UK for around a year, can now legitimately state that not only does it offer the cheapest electric five-seat passenger car on the UK market, it offers the most affordable car — period.

The T03, which measures just shy of 3.6 meters (11.8ft) long, arrived in the UK last year to compete directly with the Dacia Spring.

At the time, Leapmotor was keen to point out that, for very similar money, customers would get more interior technology, an increased amount of safety kit and a longer range. Now, with the price cuts included, it actually dips under the asking price of the Spring.

However, I drove the car (alongside the marque’s larger C10 SUV) last year and wasn’t blown away by the offering. The amount of additional technology is generous, but it isn’t particularly user-friendly, nor is it integrated particularly well with the vehicle.

It is a similar story with the numerous Advanced Driver Assistance Systems (ADAS), as these do more to irritate than prevent accidents. In fact, the lane-keep assist was one of the worst I had experienced at the time.

Regardless, the sub-£13,000 price tag makes it exceptional value for money, whichever way you cut it. But there are compromises to be made.

Maximum range from the 37.3kWh battery pack is 165 miles on a very good day and charging speeds top out at 40kW, meaning replenishing electrons on the public charging network is going to be slow — almost as slow as the acceleration, with the T03 taking 12.7 seconds to get to 62mph from a standstill.

Analysis: Affordable EV choice is growing

Chinese brands are no strangers to slashing prices in order to shift models, which has partly contributed to their success in non-domestic markets.

But the price cuts were becoming so damaging back home that the Chinese government actually banned manufacturers from selling their vehicles below the cost of production this year in order to stem an escalating price war in the country.

Leapmotor’s latest move in the UK is no coincidence, as it wants everyone to know that it now offers the most affordable new car on the market. It’s now up to Dacia to see whether it can offer similar discounts on its Spring to reaffirm its reputation as one of the best-value offerings.

But the move is also part of a wider trend for smaller, more affordable EVs that are now coming online and proving hugely popular. The Fiat 500e and Renault’s retro-inspired R4 and R5 have proven big hits across Europe, while the Hyundai Inster and Kia EV2 are rapidly gaining traction.

Honda has also stepped in with its latest Super N — a small car that goes large on the joyous driving experiences but can still be snapped up for less than £19,000 or £199 on certain finance offers.

Together, these models suggest the industry is finally shifting back towards smaller, lighter and more affordable EVs that can genuinely rival petrol-powered alternatives on both price and everyday usability.