Will be interesting what impact if any on deposits – usual annual increase is comparatively small in percentage terms and would presume have little impact on Q2.
Absolutely no effect where vehicles are ‘Total Allowance’ as the April increase was ‘priced in’ back at Q4 2022 (October 2022).
The only effect will be where vehicles are on fixed weekly payments. Currently there is the very odd situation where AP’s for WPMS can be higher than some DLA/PIP AP’s due to the fixed weekly payments having to be held at the current weekly WPMS rate of £72.00 despite the ‘priced in’ formula.
An example (just one of the many) is the Nissan Leaf Hatchback 110KW Acenta 39KWH 5DR AUTO [TECH PACK] which is AP of £199 for DLA/PIP/AFIP etc, but £331 AP plus fixed £72 payments for WPMS.
These situations were caused by the early ‘pricing in’, coupled with the projected large 10.1% increase due in April 2023.
As from April, with WPMS increased to £79.25 the AP’s in these cases should fall back and the ‘status quo’ pricing wise regained (basically pay less AP but the higher weekly payments).
But for vehicles on ‘Total Allowance’ it will be ‘business as usual’.