Is Brexit pushing up the price of new cars?15 December 2016
Motorpoint blogger and former Motoring Editor at The Sun Ken Gibson explains how car manufacturers are quietly increasing the price of new cars in the wake of the Brexit vote
The aftermath of Brexit on the UK car scene continues to be a major talking point, and having a real affect on UK car buyers.
Manufacturers are now blaming Brexit and the drop in the value of the pound as the reason for many of them raising the price of brand new cars in the UK.
Ford, Vauxhall, Peugeot, Citroen, Nissan, Honda and Suzuki have all recently significantly raised their prices between 1.5 and 2.5 per cent, which works out at between £200 and nearly £500 more per car depending on the model.
And industry experts say that it is a trend that everyone will follow, even though the value of the pound has now levelled out considerably. It’s interesting because lots of manufacturers are also announcing record sales in the UK with over 2.4 million new cars sales predicted in 2017, including 469,696 in the month of September alone, so they are not exactly in crisis.
The reality is that new cars have always been over-priced and dealers will give a good discount on the majority of new cars. Which is why unless you can get a brand new company car or are rolling in cash, I’d always advise buying a nearly new car with limited mileage. Not only do you get a much more realistic price with thousands off, but you still get the majority of the warranty benefits of a brand new car.
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About the author
Ken Gibson was Motoring Editor for The Sun for 23 years during which time he became one of the best known motoring newspaper journalists in the world. Over that period Ken tested thousands of cars from super minis to SUVs and super cars, and drove millions of miles all over the world.
As well as writing a blog covering the motoring issues of the day, he also independently road tests and creates video reviews on a cross section of cars sold by Motorpoint.