Reply To: Motability vs Alternative

#297726
MFillingham
Participant

    @Mfillingham No need to worry about the £4,000 / £5,000 discussion. I explained a few posts back why that argument didn’t hold water.

     

    Ok, I’ll ignore that.

     

    I’ve done some numbers based on 2% inflation and 4 % rise in insurance, which is pretty generous given the huge jumps some have seen recently.

    Year 1                Year 2            Year 3         Year 4           Total
    Motability               4,000.00          4,080.00      4,161.60      4,244.83        16,486.43
    Advnced Payment 3,000.00                                                                                3,000.00
    Total expense                                                                                                        19,486.43

    Cost Price              40,000.00                                                                           40,000.00
    Insurance                1,200.00         1,248.00      1,297.92       1,349.84         5,095.76
    Servicing                                            200.00                                 200.00           400.00
    Tyres                                                                                              1,500.00          1,500.00
    MOT                                                                             60.00           65.00              125.00
    47,120.76

    Income
    Sales Price –                                                                                 -12,000.00   -12,000.00
    PIP Mobility  -7,000.00         -4,080.00        -4,161.60      -4,244.83      -19,486.43

    Total income                                                                                                     -31,486.43

     

    Total additional cost of purchasing own car                                              27,634.32

    The total cost of a Motability car is the AP plus your mobility element.  When you include that cost as income, the remaining costs are over and above the cost of a Motability car.

     

    However, money isn’t everything.  I don’t think anyone would consider this comparing like for like.  The iPace is a much better car than the Enyaq, although the price has been artificially reduced.  If Jaguar put these on the scheme at £40k that would work out somewhere around the £3-4k mark which is incredible for such a car.  But that’s a different discussion completely. You are also ignoring the cost of driving, which is unknown but may well differ if they run at different efficiencies.  From what I’ve heard from iPace owners when charging, they get less per charge than the Enyaq by around 50 miles per summer fill on a run. The Jaguar is significantly heavier, so this does seem to make sense.

     

    It might be interesting to see what a like for like comparison comes out at but in this case, you’re paying an additional £27k for the privilege of owning a Jag for 4 years.  You’re also owning the risk of a 4 year old 80k mile Jaguar being worth much less that £12k whereas Motability have that risk at the time of purchase.

    I'm Autistic, if I say something you find offensive, please let me know, I can guarantee it was unintentional.
    I'll try to give my honest opinion but am always open to learning.

    Mark