Volkswagen plans to launch an even more affordable electric vehicle than the one previewed by the ID. 2all Concept, which will start under €25,000 (£22,000) when it goes on sale in Europe sometime in 2025.

"In spite of all the challenges, Volkswagen is also working on an electric car at a price of less than €20,000," the automaker said in the press release dedicated to the ID. 2all Concept

This is certainly an ambitious target since an electric passenger car (not a quadricycle) costing the equivalent of £17,585 is unheard of in Europe – even the Chinese-made Dacia Spring starts above €20,000 in France.

Originally, it was thought that VW's entry-level EV, which is likely to get the ID.1 name, would cost under €25,000. However, it looks like that price target was set for the ID. 2all, which may enter production as the ID.2 or ID. Golf. 

The more affordable model VW is working on is likely the sister vehicle to the Cupra UrbanRebel and an as-yet-unnamed Skoda model that Volkswagen Group plans to build in Martorell, Spain.

Gallery: 2025 Volkswagen, Skoda, and Cupra entry-level EVs design sketches

The carmaker did not reveal any details about its entry-level EV, but said it will be one of ten new or refreshed electric models that it will launch by 2026. Among them, Volkswagen named the facelifted ID.3, the ID. Buzz with long wheelbase, the ID.7 saloon, the model previewed by the ID. 2all study, and a "compact electric SUV" coming in 2026 – likely the ID.3 SUV.

Judging by this timeline, Volkswagen's cheapest EV may arrive in 2026 or later. The brand's urban EV will share the MEB Entry platform with the ID. 2all, which means it will be front-wheel drive as well. 

Obviously, it's too early to talk specifications, but the model is expected to be the same size as the VW Polo or slightly smaller given the more efficient packaging of the dedicated EV platform compared to the MQB A0 internal combustion architecture.

It is also expected to offer the same 172-kilowatt (231-bhp) front-mounted motor and 57-kilowatt-hour battery as the ID. Life Concept for a WLTP range of almost 250 miles and a 0-62 mph time of less than 7 seconds.

The front-drive MEB Entry platform will be combined with more affordable lithium-iron-phosphate (LFP) batteries, which should help reduce costs. The economies of scale created by building three models in the same plant will also help VW offer its small EVs at lower prices.