In the wake of the new 6% average price rises for rail users, with some rail season tickets rising by more than 10%, new research from Auto Trader, the UK’s no 1 motoring website and magazine, shows that motorists are opting for smaller cars to reduce their commuting costs.
The Auto Trader survey shows that 1.6 million UK drivers trading in their larger vehicles for more fuel-efficient small cars, with a further 60% of motorists also considering downsizing their vehicle to use for commuting.
Nearly 60% of motorists have changed the way they are driving to work in order to save fuel – 85% of commuters are now driving smoother, one quarter have found a less congested route to work, 15% now lift-share with colleagues and 2% are even using waste cooking oil to mix with diesel in order to ease the cost of commuting.
The running costs for vehicles, which cost the average motorist 8% of their salary¹, have increased over the past 12 months. Depreciation² has risen by nearly three quarters since 2007, to now stand at £3,183 a year lost on the average vehicle price and insurance³ has risen by nearly 10% to an average of £483 a year. Road tax has increased by £5 per band, but drivers of family cars such as the Ford Galaxy, Zafira and Renault Espace will see their road tax increase even further to a massive £455 by 2010 – a rise of up to £245.
Matt Thompson, Marketing Director of Auto Trader, comments: “The motorist’s wallet is getting pummelled from all angles these days. When you consider the rising cost of motoring and the new price rises for rail users, it is no surprise that in these tough economic times that nearly 60% are considering downsizing their vehicles and changing the way they drive to save expenses.
“We believe that motorists both want, and have to have, a car that they enjoy as public transport simply isn’t a viable alternative for most people, so we want to do our bit to help ease the pressure on their wallet.
“We have launched a Cut Car Costs campaign show motorists how they can save money by making small but significant changes such as shopping around for insurance, getting a vehicle professionally inspected before its warranty expires – this will highlight any faults and get them repaired for free.
“Our advice covers all aspects of car ownership, from getting the best deal when buying cars, to how to save money on fuel, insurance and other daily running costs. And we can even help motorists get the most for their car when the time comes to sell.
“Our Cut Car Costs section, which includes hints, tips and advice on how to cut commuting costs, is available for free at www.autotrader.co.uk/cutcarcosts. We also have exclusive offers available and are currently offering a half price MOT test, in association with Nationwide Autocentres, which means they are reduced the cost to just £26.55 for those motorists who download the special voucher from Auto Trader.”
Today, the average cost of commuting for motorists, which is an average 17.1 mile a day journey to and from work, costs £35.55 per working week. When the expenses of running the car, which includes depreciation, insurance and road tax, the average commute is a staggering £108.84 per working week or £1.27 per mile, which is nearly a quarter (23%) of the average UK salary.
Fig One: Breakdown of Car Commuting Costs For Average UK Worker:
Per Week
Depreciation £61.21
Insurance £9.29
Road Tax £2.79
Average commute6 £35.55
Total £108.84
Auto Trader makes the world of cars easy, with a one-stop-shop of all things motoring – from new and used cars to insurance and finance – along with advice and solutions to help reduce the cost of motoring for everyone.
- Ends -
Sources:
1. The average UK pre-tax wage for a full time adult worker is £479 a week according to the Office for National Statistics 2008.
2. RAC 2008
3. RAC 2008
4. DVLA 2008
5. Working year based of 48 weeks per annum
6. Including fuel, car parking and/or toll and congestion charges – this figure excludes wear and tear/tyres/servicing/MOT
Notes to Editor:
• With 13 regional Auto Trader magazines across the UK and the Republic of Ireland, and an expanding online presence through AutoTrader.co.uk, the brand is building a competitive position across all effective channels including print, the web and WAP.
• Auto Trader is owned by Trader Media Group, which also publishes market-leading niche titles such as Top Marques, Bike Trader, Truck & Plant Trader, Ad Trader, Motorhome and Caravan Trader, Farmers Trader, Auto Freeway – all with the largest reach in their sectors, through magazine readership and web visitors.
• Trader Media Group publishes almost 70 titles every week with a combined circulation of 1.5 million and has leading websites for its top titles.
• Trader Media Group, a division of Guardian Media Group, employs over 3,900 people across 40 locations in the UK, Ireland, Holland, Italy and South Africa. The Group is looking to expand on its winning formula: developing a one-stop-shop for motorists; giving trade customers the opportunity to choose all effective channels to market; building the service and relationship with dealers and manufacturers; and strengthening its portfolio of automotive and specialist classified titles.
• Trader Media Group is jointly owned by Guardian Media Group and Apax Partners, with GMG as the majority shareholder.
For further information, please contact:
Karen Hughes/Caroline Burnell
The Drum Consultancy
Tel: 020 7025 8044
Fax: 020 7025 8100
Email: karenh@drumbeat.co.uk
