Guide to choosing the best Tesla to lease

Tesla Model 3

Best for: Commuters and urban drivers who value efficiency, performance, and a lower cost of entry into the electric vehicle market, thanks to its compact size, impressive range, and relatively affordable pricing.

Maximum range (WLTP): 318 mi (Rear Wheel Drive) - 390 mi (Long Range)

Passengers: Up to 5 adults

Cargo: 682 litres

Tesla Model Y

Best for: Families and drivers needing more space and versatility, as it offers substantial cargo capacity and more passenger room with a spacious layout, making it well-suited for day-to-day utility and longer trips, while maintaining a manageable size for urban environments.

Maximum range (WLTP): 267 mi (Rear Wheel Drive 20” wheels) - 331 mi (Long Range AWD)

Passengers: Up to 5 adults

Cargo: 2,158 litres

Everything you need to know about a Tesla lease

The cost of leasing a Tesla varies based on the model, lease terms (duration, initial payment, inclusions) and which lease provider you choose. 

Generally, for a Tesla Model 3 (the most affordable option) monthly lease payments  in the UK can start from around £350 to £600, depending on the initial rental and the lease duration. The cost of leasing a Tesla Model Y generally falls into much the same range, although the higher purchase price is likely to be reflected in the regular lease payment.

For the more premium Model S and Model X, you could be looking at lease payments ranging from £800 to over £1,200 per month under similar terms. 

Tesla leases typically include a mileage limit, and exceeding this can result in additional costs. Optional maintenance packages and higher-spec configurations for your Tesla lease can also affect the monthly payment. 

The initial rental on a Tesla lease can range from one month’s lease payment to the equivalent of 12 months of payments. The higher your initial rental, the lower your regular payments will be, generally speaking.

When you lease a Tesla, the agreement gives you exclusive use of the vehicle for a predetermined period and mileage limit, which can vary but often ranges from 5,000 to 15,000 miles per year. 

The lease generally covers road tax and Tesla’s warranty, which includes cover for the battery and drive unit. Some leases may also offer the option to include maintenance and service packages, which cover routine servicing and certain repair costs.

Generally the servicing costs are lower on EVs like a Tesla, compared to petrol and diesel engine vehicles.

However, there are exclusions with a Tesla lease. Insurance on the Tesla is typically not included in the lease amount and must be arranged separately by the lessee. Additionally, charges for excessive wear and tear or damage to the vehicle that goes beyond the agreed condition standards will be applicable. Over-mileage fees are also charged if the annual mileage limit is exceeded. Remember, too, that personal customisation of the vehicle is usually restricted or entirely off-limits during the lease term.

All other things being equal, the Model 3 Rear Wheel Drive is likely to be the cheapest Tesla to lease, based on its purchase price, which has a significant bearing on the regular lease payment amount.

But in reality, it could be possible to lease a Model Y for less than a Model 3, depending on which variant you choose. For example the base Model Y Rear Wheel Drive costs less than the two highest spec Model 3s (Long Range All-Wheel Drive and Performance All-Wheel Drive).

The level of extras you add to the lease and the terms of the agreement will also dictate which Tesla model ends up being the cheapest to lease.

Here are some ways you may be able to save money on a Tesla lease deal:

  1. Shop around: Check different leasing companies to compare Tesla deals. can help you find the providers offering the best prices on Tesla leases. 
  2. Negotiate Terms: While pricing for cars purchased directly from Tesla is generally fixed, sometimes there's room to negotiate on lease pricing, as lease providers order cars in bulk. It’s worth asking the provider whether the Tesla lease price advertised is the best they can do.
  3. Consider a used Tesla: The tech in electric cars is changing rapidly, but if you lease a used Tesla that’s only a couple of years old, it’s likely to be a good bit cheaper than a brand new model, while still offering a modern and high tech feel.
  4. Look for special offers: Lease providers occasionally offer special leasing deals, particularly towards the end of a month, quarter or model year. 
  5. Choose your mileage limit carefully: This could help you avoid excess mileage charges for going over your limit.
  6. Maintenance packages: Consider whether including a maintenance package in your Tesla lease is cost-effective.
  7. Consider salary sacrificing: If you’re eligible, there can be considerable tax savings available if you pay for your Tesla lease through your employer under a salary sacrifice scheme.

When your Tesla lease ends, you’ll have a few options options to weigh up:

  1. Return the car: You can simply return the car to the leasing company. Your Tesla will typically undergo an inspection to check for excess wear and tear. If the vehicle has damage beyond what is considered normal, or if you've exceeded the mileage limits set in your lease agreement, you may incur additional charges.
  2. Lease another Tesla: If you've become a devoted Tesla driver, you might choose to lease another Tesla. This allows you to upgrade to a newer model with the latest features and technology. 
  3. Extend the lease: Some lease agreements offer the flexibility to extend the lease for an additional period. If the Tesla you’ve been leasing is still suitable for your needs, this could be a good option. There may be an admin fee charged by the leasing provider if you extend the lease.

It’s generally possible to lease a Tesla without needing to make a large upfront payment or deposit. You can do this by selecting the lowest available initial rental, which is generally the equivalent of one month’s rental.

However, depending on your credit score, there may be restrictions on selecting the lowest initial rental. Bear in mind, too, that if you pay a lower initial rental, the regular payments on your Tesla lease will be higher.

The main eligibility criteria for leasing a Tesla in the UK are:

  • Being over 18 years of age
  • Having a full driving licence
  • Having a good credit score
  • Having an income that’s sufficient to cover the regular payments