BIK tax is also charged on employer-provided fuel for private use. As electric cars don’t use fuel, there’s no fuel benefit charge at all. Better still, if you use your own electric cars you can utilise workplace charging stations without incurring a BIK tax charge, even where the vehicle is used for private use.
To illustrate, if your employer provided a petrol car in 2022/23, listed at £20,000 with CO2 emissions of (say) 120g/km, you would attract BIK tax of £5,800 and a fuel benefit charge of £7,337. An electric car with the same value would attract BIK tax of only £400, and no fuel benefit. A significant difference!