Car prices rise above inflation | Motoring Issues - Car News May 2012

MOTORING ISSUES
main article image

15:36 Thursday 24 May 2012

The price of some of Britain's top-selling cars has risen well above inflation over the last four years, a report from Which? Magazine has revealed.

The figures have revealed that both the Renault Megane and the Volkswagen Polo have increased in price by over 8% more than the rate of inflation. Conversely, since 2008, the prices of the BMW 3 Series, BMW 5 Series, Ford Galaxy and MINI have all fallen.

Which? Magazine said, "It's disappointing to find some manufacturers are hiking the price of new cars above inflation, especially smaller cars, at a time when consumers are already feeling the pinch due to the rise in VAT, car tax and general cost of living."

The magazine compared the prices of the cars tested between March 2008 and March 2012 to arrive at these figures. Road tax and VAT were excluded as these have changed since 2008 and would have skewed the results.

However, there is some good news. Despite the economic climate, or perhaps because of it, dealers are currently offering big discounts on some models. Shop around and you could get over 20% knocked off the list price if you haggle hard.

Comments
INDUSTRY
Toyota, Honda, Nissan and Mazda are recalling a total of 3.4m cars over an airbag fault.
INDUSTRY
Toyota is recalling around 5,000 UK Priuses due to a potential braking fault.
INDUSTRY
Toyota is recalling 1.9m Prius models, including 30,790 UK cars, over a software glitch.
INDUSTRY
Owners are being warned not to drive their 911 GT3s following two reports of car fires.
MOTORING ISSUES
The increasing complexity of modern cars has led to a surge in electrical breakdowns.
INDUSTRY
The engines in all 785 delivered examples of the 911 GT3 will be replaced over a fire risk.