Turbo boost for car sales as lockdown rules eased
AS LOCKDOWN restrictions ease and car showrooms reopen, Britons will be keen to hit the road – after perhaps treating themselves to a new or used motor. The pandemic year has been a disaster for car dealers and they are crossing their fingers for a brighter spring and summer sales period.
If you are still shielding and do not fancy a showroom, there are growing options for buying online instead.the question is: what do you buy?
The Government may ban sales of new petrol and diesel cars from 2030, but you have free range today. Or should you choose the halfway house hybrid, or even go pure electric?
SPRING BONUS
Most stick to petrol cars when buying used and the Nissan Juke was the most popular during the pandemic, as motorists looked for a cheap, reliable motor, spending on average £8,298, according to car-buying site Choosemycar.com.
It was followed by the Skoda Octavia (£13,995),Vauxhallastra (£7,699), the BMW 3 Series Saloon (£17,695) and Ford Focus (£8,695).
The Renault Clio, Peugeot 108, Ford Fiesta andvauxhall Corsa were popular with younger buyers.
Choosemycar commercial director Ben Maguire said buyers can save up to £2,198 on the Juke, and up to £4,195 on the BMW, by shopping around online to find the best deal.
Maguire expects spring and summer to be busy: “March and April are historically strong, and we expect this to be magnified.”
ELECTRIC SHOCK
One in 20 new car purchases are electric vehicles, and their share of the market looks set to grow. Many people are deterred from buying an electric car or hybrid because the initial purchase costs are higher.
The zero-emission five-door VW e-golf has a total recommended retail price of £30,385 including VAT, while the GTE petrol/electric hybrid retails from £31,490. By comparison, the petrol-only Golf S five-door hatchback 1 litre starts at £20,280, rising to £21,635 for the 1.6 litre.
You can reduce the purchase price with the Government’s plug-in grant for electric vehicle purchases, although this has been cut from £3,000 to £2,500, on qualifying cars up to £35,000 (previously £50,000).
LEADING THE CHARGE
James Beaves, 43, reckons that swapping his diesel Audi A4 for a plug-in hybrid BMW 330e in December will save him thousands of pounds a year when he resumes his normal motoring patterns.
Before lockdown, James drove up to 36,000 miles a year, paying £7,200 in petrol.the same mileage would cost just £1,920 a year if completely electric, saving £5,280.
His BMW has an electric range of a maximum 41 miles. “I do all my local trips entirely on electric.the battery costs £1.66 to charge and when I get home I just plug it in again.”
James, from Waterlooville, Hampshire, last bought petrol in December. Since then he has driven more than 300 miles and still has half a tank left.
He will use hybrid mode for longer journeys but will bank other savings. “I will save £360 a year by being exempt from the Congestion Charge on my visits to London,” he said.
PURE SAVINGS
As a company car driver, James will also make tax savings. Pure electrics are taxed as a benefit-in-kind at just 1 per cent and hybrids from 12 per cent, while the tax on some petrol and diesels can hit 37 per cent. “I will pay £1,759 in tax on my company hybrid this year, a saving of £3,027.”
James also saved on his home charging point, because his renewable energy supplier Pure Planet offers customers a £50 discount on installation.the Government offers a £350 grant under the Electric Vehicle Homecharge Scheme, so James only paid £545. Pure Planet co-founder Steven Day said the Government’s ambitious target to hit net zero carbon emissions by 2050 will affect us all: “Installing heat pumps, upgrading insulation, and leasing or buying an electric vehicle and charger carry up-front costs, but offer significant long-term savings.”
‘Battery-run electric cars cost as little as 4p a mile to run using electricity charged at your home’
GREEN FUTURE
Almost two-thirds of UK adults wrongly believe electric cars cost up to £50 to fully charge, yet the Volkswagen e-golf costs just £6.06, according to Energyhelpline.
The Hyundai IONIQ, Kia e-niro 39kwh, Nissan Leaf and Renault Zoe all cost £7 or less.the Jaguar I-PACE is at the expensive end, at £16.30.
Energy Helpline director of energy Tom Lyon said: “Battery electric cars cost as little as 4p a mile to run using electricity charged at home.”
Maguire said there are concerns about battery life, as capacity degrades over time. “On the other hand, electric cars have lower running costs, are cheaper to maintain and should depreciate at a slower pace.”
Dan Harrison, head of editorial at online car marketplace Heycar.co.uk, said the UK needs better charging infrastructure, especially in cities.
“Right now, it’s nearly impossible to charge overnight unless you have an individual charging point outside your own home or garage.”
The green motoring revolution is here, but not everybody is equipped for it yet.