If you’re convinced that the cost of driving has been creeping up, you’re not imagining it. At least that’s the conclusion of new research, which says that even owners of the cheapest cars have seen everyday motoring costs creep up by 10 per cent, over the past year.
Research carried out by CAP HPI, the vehicle valuation specialist, looked at the running costs associated with owning a car, rather than the purchase price of the car.
The price of scheduled servicing and general wear-and-tear maintenance were calculated, as were bills for fuel (petrol or diesel), road tax and the drop in value of the car – known as depreciation. Once combined, they were used to produce a pence-per-mile figure.
Drivers have been given some good news, after Philip Hammond, the Chancellor of the Exchequer, announced in the 2017 Budget that fuel duty will be frozen, despite widespread fears it would be raised to help balance the nation’s books.
It means that for the seventh year in a row, the duty on fuel remains frozen. This is estimated to save the average British driver £75 a year, and as much as £270 for van drivers.
At the same time, road tax – formally known as Vehicle Excise Duty (VED) – has been frozen for a further year, for private motorists and hauliers.
Mitsubishi Outlander is the best-selling plug-in car. Worth considering for urban drivers looking to save on fuel (Picture © Mitsubishi)
Thankful that the 2016 Budget didn’t lead to an increase fuel duty? If you’re like many drivers, you could be looking to spend the money saved on fuel to upgrade your car.
Online retailer Motors.co.uk conducted research which shows that the number of buyers looking at cars costing up to £300 per month to lease has increased by 78 per cent this year. Peter Watts, director of dealer insight at Motors.co.uk said: “Over the past few months, we’ve seen fuel prices reach their lowest since 2009, with supermarkets slashing their prices to below £1 a litre. To put this into context, at its highest price point, we were paying more than £1.42 a litre in April 2012 – that’s a saving of just over £25 for a 60-litre tank each time it’s filled up.”
Philip Nothard, retail specialist at car valuation expert CAP Automotive believes buyers are still looking for fuel-saving motors. He said: “We’ve been researching this extensively among motor dealers and they confirm to us that fuel economy hasn’t slipped down the list of priorities for the typical customer.” So if you’re one of the drivers looking to upgrade but want to hedge against future fuel price rises, here are our top five motors that will save you money at the pumps… and five to avoid.