Australia’s record June electric vehicle sales result has reinforced the growing influence of novated leasing, with NALSPA arguing the Electric Car Discount is helping working households overcome the higher upfront price of an EV.
Battery-electric vehicles surpassed 32,500 sales in June 2026 and accounted for more than 23 per cent of new-car sales, according to figures cited by the National Automotive Leasing and Salary Packaging Association.
That was a sharp increase on the approximately 20 per cent BEV share recorded in May and almost triple the 7.6 per cent market share achieved in June last year.
For NALSPA, the figures point to more than a strong month for electric vehicles. They show that salary packaging and the Electric Car Discount have become important tools for households looking to reduce transport costs.
NALSPA chief executive Rohan Martin said the policy was central to making EVs more accessible.
“Australians have set another monthly record in EV sales and the Electric Car Discount is central to making that possible,” Mr Martin said.
“Demand is being driven by a combination of cost-of-living pressures, fuel price volatility, greater model availability and the policy certainty provided by the Albanese Government’s May 2026 announcement on the future of the Electric Car Discount.”
The June result came as motorists faced higher and more volatile petrol prices, while new EV brands and models continued to arrive in Australia.
Tesla, BYD, Polestar and a growing group of Chinese manufacturers have helped expand choice across small cars, SUVs, premium vehicles and family-oriented models. NALSPA said newer brands including Zeekr, Jaecoo and Geely were now among the top 10 BEVs being purchased by working households through novated leasing.
That expanding choice is important because novated leasing is no longer only associated with premium EVs or executive salary packages. It is increasingly being used by employees seeking a predictable way to manage vehicle and running costs.
Mr Martin said the structure could help households deal with both the purchase price and the ongoing cost of operating a vehicle.
“With stretched household budgets and petrol prices volatile, cheaper-to-run EVs make more sense than ever. But for many working Australians, particularly those in outer metropolitan suburbs who travel longer distances, making the switch wouldn’t be possible without the Albanese Government’s Electric Car Discount.”
“The policy is helping working families overcome the barrier of upfront cost, with EVs still typically more expensive than petrol and diesel equivalents.”
Under a novated lease, vehicle payments and eligible running costs can be packaged through an employee’s salary. NALSPA said the arrangement provides practical household savings through predictable payments, GST savings on the vehicle and running costs, and lower taxable income.
For eligible electric vehicles, the Electric Car Discount can create an additional benefit by exempting the vehicle from fringe benefits tax.
Mr Martin said this combination had made novated leasing an increasingly popular pathway into EV ownership.
“Novated leasing has become an increasingly popular pathway because it delivers practical household savings: predictable payments, no GST on the vehicle and running costs, and lower taxable income. The Electric Car Discount then provides further savings for eligible EV buyers.”
The June sales data also has implications for employers.
As more employees arrive at work already familiar with EV ownership through a novated lease, fleets may face fewer cultural barriers when introducing electric vehicles into operational fleets. Drivers who understand charging, range management and EV running costs through personal experience may be more willing to transition into an electric work vehicle.
It may also encourage organisations to review their salary-packaging arrangements alongside fleet procurement policies. Employee demand for novated EVs can strengthen the business case for workplace charging, while a broader charging network can make EV salary packaging more practical for staff without home-charging access.
NALSPA said the next challenge was sustaining the sales momentum beyond a record June.
“The task now is to sustain this momentum. That means maintaining strong policy support through the Electric Car Discount and accelerating investment in public, workplace and home charging infrastructure.”
June may have been supported by end-of-financial-year deliveries, pre-orders and fuel-price concerns. However, the result suggests novated leasing has become more than a fringe route into EV ownership.
For many Australian households, it is increasingly the mechanism making the switch possible.
