One of the best perks of any job is a company car, and choosing a new one is not only an exciting prospect but also a good way of saving you money.
Over the past few years, the company car landscape has undergone significant change, with strict emissions regulations and tax bandings pushing buyers away from petrol and diesel cars.
In their place, electric and plug-in hybrid models have grown in popularity, their low benefit-in-kind (BIK) tax rates capturing the attention of company car buyers and fleet operators alike.
For 2026/2027, the BIK rate for EVs sits at 4%. That's a 1% rise over the previous annual rate but, even with this small uptick in P11D value, still makes running an EV as a company car much cheaper than running a car privately.
Better still, the current pool of BIK-busters is now broader than ever, ranging from small 250-mile electric superminis right up to large plug-in hybrid SUVs with electric-only ranges of more than 70 miles.
Despite improvements in both battery technology and public charging infrastructure, not everyone wants to make the full transition to electric power. Plug-in hybrids, as well as full hybrids, remain the practical choice for company car users who tend to cover more motorway miles.
Our road testers have driven and evaluated every new car on sale to help come up with a definitive guide to the best company cars, from ultra-efficient PHEVs to long-range EVs.
To that end, we think the best overall company car is the Volkswagen ID 7, but read on as we rank the best models you can choose from today.
The best company cars at a glance
| car model | best for | p11d price | electric range (wltp) | bik rate (%) | basic rate bik tax (20%) | higher rate bik tax (40%) |
|---|---|---|---|---|---|---|
| Volkswagen ID 7 | Long-distance executive cruising | From £51,445 | Up to 433 miles | 4% | £36 / month | £73 / month |
| BMW iX3 | Premium luxury electric SUV appeal | From £53,250 | Up to 500 miles | 4% | £42 / month | £84 / month |
| Skoda Elroq | Maximum value-for-money family EV | From £33,970 | Up to 373 miles | 4% | £24 / month | £49 / month |
| Porsche Taycan | Ultimate performance and prestige | From £88,400 | Up to 421 miles | 4% | £63 / month | £127 / month |
| Skoda Superb Estate iV | Cargo space and long-range PHEV flexibility | From £41,580 | Up to 81 miles (electric only) | 7% | £52 / month | £104 / month |
We believe the Volkswagen ID 7 is the best company car you can buy, and that's not just because of its ultra-low BIK tax banding.
This EV is a brilliant all-rounder, offering a pleasant, spacious interior, excellent ride quality and surprisingly capable handling, making it a great choice for longer commutes.
Battery sizes range from 77kWh to 86kWh, and if you opt for the latter you can have a range of up to 433 miles. The larger 86kWh battery also offers charging speeds of up to 200kW, so those quick homeward-bound top-ups won't take forever. Even the smaller-battery cars can charge at up to speeds of 175kW.
There’s also a choice of saloon and estate bodystyles, both with class-leading practicality. The standard saloon boasts a 532-litre boot, while the Tourer offers an even more cavernous 605 litres.
| Volkswagen ID 7 Pro S Match Plus (86kWh) | |
| BIK rate | 4% |
| Monthly BIK tax (20% band) | £36.58 |
| Monthly BIK tax (40% band) | £73.17 |

