The cost of owning a vehicle that runs has risen by about 11% or about £250 in the past two years according to new data compiled by Sainsbury’s Finance.
The company estimates that that it now costs about £2,339 per year to run a car including insurance, servicing, tax, MOT, and fuel compared to the 2007 figure of £2,101. It is estimate that the price has increased about 3% in the last year.
Most of the increase cost is because of the rise in car insurance premiums, which has increased 15% since last year and approximately 24% in 2007.
After car insurance, the second largest increase in car ownership was tax, which has increased by about 7.5% over the last year.
Car insurance manager of Sainsbury, Bet Tyte, stated that although some costs of running a car have decreased over the past year when compared with figures from 2007, the cost of motoring still increased overall due to the rise in insurance premiums and road taxes.
Tyte recommended that the best way to find a car that fits into a tight budget is by shopping around and paying close attention to the average price of car servicing and insurance for a particular model before making a final purchase.
Interestingly enough, the data from the finance department at Sainsbury’s suggests that fuel has decreased in cost by about 1%. However, this good news is overcast by the fact that drivers are expected to have to pay up to five pounds per gallon this Christmas.