Rejoice! Electric VWs getting cheaper thanks to breakthrough battery tech

Volkswagen electric cars are set to become more affordable as the firm rolls out new LFP battery tech – packing good energy density and lighter weight – from its new small EVs to the ID.3, ID.4 and ID.7. 

The Polo-sized ID.2 – going public in autumn 2025 – should have an entry price close to £20,000, and the 2027 ID.1 production version of the ID.Every1 concept could come in around £17,000. Today’s cheapest electric Volkswagen is the £30,000 ID.3 hatchback – but this could get some pricing wriggle room as it adopts the cheaper new tech.

VW’s baby BEVs are introducing lithium iron phosphate (LFP) batteries, which use raw materials that are typically cheaper than the Nickel Manganese Cobalt (NMC) cathode design powering the current ID range. LFP isn’t as energy dense as NMC but Volkswagen will overcome that by cramming more cells into its cars using a new ‘cell-to-pack’ system. And the existing MEB platform – which underpins all electric Vee-dubs – will be revamped into an ‘MEB Plus’ version accommodating the new battery pack for early 2026. 

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“We decided to upgrade to MEB Plus next year, and to roll out the cell-to-pack battery systems with LFP. It’ll be a major step forward in terms of cost for us,” Volkswagen brand boss Thomas Schäfer told Auto Express in a meeting at the Financial Times’ Future of the Car Summit.