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Tesla Model 3 and Model Y prices reduced by up to £8k

Shock price reductions from Tesla provide UK customers with huge savings on Model 3 and Model Y ranges

Tesla Model 3

Tesla has laid down a marker to its EV rivals by massively reducing prices for its Model 3 saloon and Model Y family SUV ranges. Buyers will now be able to snap up a base Model 3 for £42,990 which means a saving of £5,500, while an entry-level Model Y is available for £44,990 - £7,000 less than before.

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Price reductions for the Long Range versions of each model are equally substantial, with the dual-motor Model Y now up for £52,990 (a £5,000 decrease) and the equivalent Model 3 discounted by £6,500 to now start at £50,990.

The US EV manufacturer hasn’t forgotten its Performance variants either, with the quickest Model Y slashed to £59,990 - a massive drop of £8,000, and the fastest Model 3 down from £61,490 to £57,990.

Tesla confirmed all pending orders will have prices updated automatically, and explained its decision on the price reductions saying: “Our focus on continuous product improvement through original engineering and manufacturing processes have further optimised our ability to make the best product for an industry-leading cost. 

“As we exit what has been a turbulent year of supply chain disruptions, we have observed a normalisation of some of the cost inflation, giving us the confidence to pass these through to our customers.

“As local vehicle production continues to increase and we gain further economies of scale globally, we are making Model 3 and Model Y even more accessible across [Europe, the Middle East and Africa].”

Increasing competition from cheaper Chinese brands will no doubt have been a factor in Tesla dropping its prices. The Model 3 and Model Y were the UK’s most popular all-electric cars in 2022 and, with the US firm not looking like it will have a new entry-level EV model ready before 2025, it may feel it needs to position itself as more affordable to buyers now faced with more choice.

Now read more about the best electric cars...

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Contributor

Paul was employed across automotive agency and manufacturer-side sectors before joining Auto Express in 2020 as our online reviews editor. After a brief sojourn at a national UK newspaper, Paul returned as executive editor where he worked until early 2025. Despite moving on to pastures new, he remains a regular contributor across our news and reviews sections.

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