On face value the APs for the Micra R4 & R5 are ludicrous. Certainly way beyond my reach! However, I can’t really get behind the Mob should be ashamed, their fault, their fleecing us etc mentality. Mob, like any other leasing organisation, will have many many years of data and algorithms that help them set their APs. Also, the cars mentioned are either very chic and on trend right now (R4/5) so manufacturers probably don’t feel the need to discount significantly or so new that they don’t know how they’re going to fly yet (Micra). Another six or twelve months, when their success/failure rate is better known, these models might be priced more like the Inster and others. Motability is a charity, M.Ops is a business run to support that charity. I often see the old sacrificed benefits+ap figure versus the list price argument thrown up. What about the operating costs, wages, infrastructure, promotion et al? Only a proportion of the sacrificed benefit actually goes to financing the vehicle. Do I think many APs are eye watering? Absolutely. Do I think some are hard to explain? Yup. But no more than with any other leasing company or the motor trade in general. It’s always been a fickle beast.
That top tier £28k Micra, R4 & R5 are essentially all the same cars. Ignore any volume discounts the VAT free base price £24k works out £18,000+ over 3 years lease
The top Hyundai Inster , also a £28k car (£24k ex VAT) works out £13,600 over the same 3 year lease.
It’s not as they don’t return a profit, which is often in the millions.