MG4 vs MGS5: Is MG Still the Cheap-EV King in 2026?
Source: MG
Key insights:
The MG4 starts from £29,995 for the Premium Long Range (or £23,495 for the smaller MG4 Urban), keeping it among the cheapest new electric cars on UK sale in 2026.
The MGS5 EV starts from £28,745 and adds SUV space and a 453-litre boot, with up to 298 miles of WLTP range on the Long Range battery.
At 4% benefit-in-kind for the 2026/27 tax year, both cars are among the lowest monthly-cost EVs a UK employee can run through a salary sacrifice scheme.
Salary sacrifice through The Electric Car Scheme can cut the cost of either MG by 20-50% compared with a personal lease, depending on your tax band.
MG4 or MGS5? The short answer
If you want the cheapest, sharpest-driving new EV and don't need SUV height, the MG4 wins. If you carry a family, want a higher seating position and a bigger boot, the MGS5 is the better buy for only a little more money. Both sit at the value end of the market, and both qualify for the same 4% benefit-in-kind rate in 2026/27, so the real decision comes down to body style and space rather than running cost.
MG has spent the past few years rewriting what a budget electric car looks like, and the 2026 line-up shows why the brand keeps topping affordable-EV shortlists. The MG4 hatchback and the newer MGS5 EV SUV now sit side by side, priced within a few hundred pounds of each other yet aimed at quite different buyers. This comparison covers price, battery, range and performance, then shows what each car costs through electric car salary sacrifice so you can see the figure that actually lands in your monthly pay.
MG4 vs MGS5: specifications and price compared
The MG4 is a compact hatchback built on MG's modular electric platform, with a rear-mounted motor and a low, planted stance that makes it one of the better-driving cars in its class. The 2026 update focused on the cabin, bringing larger displays, improved switchgear and better materials. The MGS5 EV shares much of the same engineering but wraps it in a small SUV body, with a higher driving position, more rear-seat room and a larger boot.
| Spec (2026 UK) | MG4 | MGS5 EV |
|---|---|---|
| Body style | Compact hatchback | Small SUV |
| From price | £29,995 (Premium Long Range)* | £28,745 (SE Standard Range) |
| Usable battery | 61.7 kWh (Long) / 74.4 kWh (Extended) | 47.1 kWh (Standard) / 64 kWh (Long) |
| WLTP range | 280 miles (Long) / 338 miles (Extended) | 211 miles (Standard) / 298 miles (Long) |
| Power | 168 bhp (up to 435 bhp XPower) | 168 bhp (Standard) / 228 bhp (Long) |
| 0-62 mph | 3.8s (XPower) to ~7.7s | 8.0s (Standard) / 6.1s (Long) |
| Boot | ~363 litres | 453 litres |
| Max rapid charge | Up to ~144 kW | 120 kW (49 kWh) / 139 kW (64 kWh) |
*A smaller, shorter-range MG4 Urban is also offered from £23,495 for buyers chasing the lowest possible entry price.
On paper the two cars are closely matched. The MG4 holds the advantage on outright range, with the Extended Range battery reaching 338 miles, and it drives with more verve thanks to its lower weight and rear-drive balance. The MGS5 answers with practicality: a noticeably bigger 453-litre boot, easier access and a more family-friendly cabin. Pricing is so close that neither car wins on cost alone, which is why the salary sacrifice figure below matters more than the list price.
What each MG costs on salary sacrifice
This is where MG's value story sharpens. Through a salary sacrifice scheme, you give up a portion of your gross salary in exchange for a brand-new electric car, and because the payment comes out before income tax and National Insurance, you save 20-50% compared with paying for the same car from your take-home pay. The exact saving depends on your tax band, with basic-rate taxpayers saving around 20% and additional-rate taxpayers earning £125,140 or more saving up to 50%.
You also pay company car tax, but on a pure EV that charge is tiny. Benefit-in-kind on electric cars is just 4% for the 2026/27 tax year, so the taxable benefit on a £30,000 MG works out at only £1,200 a year before your personal tax rate is applied. For a basic-rate employee that is a BiK bill of around £20 a month, which is what keeps an MG's all-in monthly cost so low. You can see how the rate is calculated in our guide to how benefit-in-kind works on electric cars.
The table below is an illustrative comparison of the net monthly cost after tax and National Insurance relief, based on a typical three-year, 5,000-mile-a-year agreement that bundles the car, insurance, servicing, maintenance and breakdown cover into one payment. Exact pricing varies by term, mileage and funder, so always confirm your own figure with an instant salary sacrifice quote.
| Illustrative net monthly cost | MG4 Premium Long Range | MGS5 EV SE Long Range |
|---|---|---|
| Basic-rate taxpayer (20%) | from ~£290 | from ~£300 |
| Higher-rate taxpayer (40%) | from ~£235 | from ~£245 |
The figures land within a few pounds of each other, which reinforces the point: on salary sacrifice you are not really choosing between an MG4 and an MGS5 on cost, you are choosing the body style that suits your life. The Electric Car Scheme prices every car through a multi-funder pricing engine that sources quotes from several UK leasing partners and returns the most competitive one, so you can price either MG, new or used, without being tied to a single funder's rate.
As Gaurav Ahluwalia at The Electric Car Scheme puts it: "MG cracked the affordable-EV code, and salary sacrifice sharpens it further. At 4% benefit-in-kind for 2026/27 the MG4 becomes one of the lowest monthly-cost new cars a UK employee can drive."
Which MG should you choose?
Choose the MG4 if you want the lowest running cost and the most engaging drive. It is the better car for city and commuter use, the Extended Range battery is the longest-legged option in this pairing at 338 miles, and the hatchback body is easier to thread through tight streets and car parks. Value buyers who don't need SUV space will find it hard to beat, and the MG4 Urban from £23,495 lowers the entry point even further for shorter journeys.
Choose the MGS5 EV if you carry passengers and cargo regularly. The higher seating position, roomier rear bench and 453-litre boot make it the more sensible family car, and the Long Range battery still returns a useful 298 miles. You give up a little driving sparkle and outright range compared with the MG4, but for most households the practicality is worth it, and the price gap is small enough to be absorbed easily on salary sacrifice.
Either way, you are buying into MG's core strength: genuine EV value. If you are weighing these against rivals, our roundup of the best electric cars to salary sacrifice puts both MGs in the wider context, and our full MG electric range guide covers the rest of the line-up.
Frequently asked questions
Is the MG4 good value?
Yes. With prices from £23,495 for the Urban and £29,995 for the Premium Long Range, the MG4 undercuts almost every comparable new EV while offering up to 338 miles of WLTP range. On salary sacrifice at 4% benefit-in-kind for 2026/27, its all-in monthly cost is among the lowest of any new car on the UK market.
MG4 vs MGS5: which is cheaper on salary sacrifice?
They are very close. The MG4 and MGS5 have near-identical list prices, so their monthly salary sacrifice costs differ by only a few pounds. The MG4 tends to come out marginally cheaper, but the gap is small enough that body style and space should drive your decision rather than cost.
Can you salary sacrifice an MG?
Yes. Any MG electric car, including the MG4 and MGS5, can be taken through an electric car salary sacrifice scheme, provided your employer offers one. The Electric Car Scheme can price new or used MGs, and where stock allows, used EVs can be delivered within 14 days.
What is the MGS5 range?
The MGS5 EV offers 211 miles of WLTP range on the 47.1 kWh Standard Range battery and up to 298 miles on the 64 kWh Long Range battery (288 miles in Trophy trim). Rapid charging peaks at 139 kW on the larger battery, taking it from 10-80% in around 25 to 30 minutes.
Is salary sacrifice on an MG protected if my circumstances change?
With The Electric Car Scheme it is. Complete Employer Protection applies from day one with no exclusion period and no excess, covering resignation, redundancy, long-term illness and parental leave, so an early return doesn't leave you exposed. Many providers impose a three-month exclusion period before any cover begins.
Which MG wins?
MG remains the cheap-EV king in 2026, and the MG4 and MGS5 are the two cars carrying the crown. The MG4 is the keener, longer-range hatchback; the MGS5 is the roomier, family-friendly SUV. Their list prices are almost identical and so are their salary sacrifice costs, so the honest answer to "which wins" is whichever body style fits your life. Salary sacrifice is what turns either into a standout deal, cutting the monthly cost by 20-50% and adding only a token 4% benefit-in-kind charge for 2026/27.
The Electric Car Scheme makes it simple to compare both. Get an instant quote on an MG4 or MGS5 to see your exact monthly figure, or if you run a business, read how salary sacrifice works for companies and offer it to your team at £0 set-up cost. The Electric Car Scheme is rated 4.9 out of 5 on Trustpilot from more than 1,000 reviews and was named EV Salary Sacrifice Provider of the Year 2026 by SME News.
Last updated: 29/06/2026
Our pricing is based on data collected from The Electric Car Scheme quote tool. All final pricing is inclusive of VAT. All prices above are based on the following lease terms; 10,000 miles pa, 36 months, and are inclusive of Maintenance and Breakdown Cover. The Electric Car Scheme’s terms and conditions apply. All deals are subject to credit approval and availability. All deals are subject to excess mileage and damage charges. Prices are calculated based on the following tax saving assumptions; England & Wales, 40% tax rate. The above prices were calculated using a flat payment profile. The Electric Car Scheme Limited provides services for the administration of your salary sacrifice employee benefits. The Electric Car Scheme Holdings Limited is a member of the BVRLA (10608), is authorised and regulated by the FCA under FRN 968270, is an Appointed Representative of Marshall Management Services Ltd under FRN 667174, and is a credit broker and not a lender or insurance provider.
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