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Sportage prices have rocketed. The PHEV GT Line has gone from £1849 to £3399 and the GTS PHEV has been removed from the scheme entirely.
Better news. The Volvo XC40 has dropped a grand to £1499.
looking like a bargain compared to some of the other cars so this is now top of my shortlist.
i had a Corolla on my shortlist as well a Mazda CX-30, both have been removed. Lexus LBX gone up by £1000.
Pricing from what I have seen so far this quarter is a shambles, pretty soon no one will be able to afford to get a car that suits their needs.
I dare say prices would sharp drop across the board if everyone decided to extend their lease instead of paying for another car, manufacturers would lose a lot of business
It would appear that even the disabled are being priced off the roads. I dread to think what the APs will be in a few years time when I’m next due for a renewal.
It’s alright saying that there are a few cheaper cars on the scheme but who can comfortably fit into a small car these days? I struggle with a medium sized SUV!
It would appear that even the disabled are being priced off the roads. I dread to think what the APs will be in a few years time when I’m next due for a renewal.
In response to the rising Advance Payments, Motability have put out a press release with a ‘natty’ video explaining how bad things are; click here
I dare say prices would sharp drop across the board if everyone decided to extend their lease instead of paying for another car, manufacturers would lose a lot of business
It’s probably not without coincidence that Motability have now removed the ability for the majority of customers to do this! Only those who do very low mileage or have substantial adaptations now have the option to extend their leases.
The video does make sense TBF. It’s just hard to swallow when the ‘charity’ is sitting on so much profit/reserves. I suppose they took a hit mind when the profits went from £1.1 billion in 22 to only £748 million in 23 and the poor boss only got £673,000.
In response to the rising Advance Payments, Motability have put out a press release with a ‘natty’ video explaining how bad things are; click here
All valid stuff, but quite telling that they don’t mention that they have told some of their largest Dealer Principals that the biggest current driver of AP growth is their exposure to the widely publicised concerns about EV residual values. From memory, every 1% drop in residual values costs them something like £8m and that has to be clawed back somehow.
Hyundai Tucson plugin hybrid is good value this quarter, from £2499 advance payment.
Yes, amidst all the gloom, this is a comparative bargain. The top spec Ultimate 4WD PHEV (that I have) and N-Line S 4WD PHEV (that @kezo has) have both dropped by a massive £1600 to just £2,999, and the prices that we paid were £600 lower than they had been previously! The mild hybrid is best avoided though as it’s £1000 more than the far more expensive (and cheaper to run if you can easily plug it in) PHEV. I’ve been pleasantly surprised by this car (which wasn’t really on my radar) and will do a review if and when I get time.
A few observations:
The Touran – I have a Match on order – has gone already.
New Kodiaq, previously Diesel only, has the plug- in 205bhp 5 seater on at same price. IMHO a relative bargain vs Tiguan plug in.
still no Tenka X Trailnew Forester next spring
Agree with Glos Guy, Hyundai Tucson ultimate PHEV a bargain.
The video does make sense TBF. It’s just hard to swallow when the ‘charity’ is sitting on so much profit/reserves. I suppose they took a hit mind when the profits went from £1.1 billion in 22 to only £748 million in 23 and the poor boss only got £673,000.
And all the while the number of customers keeps increasing, now 800 000. That is up 200 000 in just a few years. Interesting that they now have 50 000 Electric car customers, 6.25%, I thought it would have been much higher.
So we are being encouraged to switch to Electric cars but the AP on most have increased significantly such as the Renault Scenic going from £495 to £995 This is definitely not going to persuade people to make the switch to EV’s and is making me an EV convert to switch back to a more affordable Petrol car. Not Motability’s fault but manufacturer’s who on one hand say EV sales are struggling but then put obstacles in the way by hiking prices.
In response to the rising Advance Payments, Motability have put out a press release with a ‘natty’ video explaining how bad things are; click here
All valid stuff, but quite telling that they don’t mention the factor that they have told some of their largest Dealer Principals is the biggest current driver of AP growth – their exposure to the widely publicised concerns about EV residual values. From memory, every 1% drop in residual values costs them something like £8m and that has to be clawed back somehow.
What’s happening in the car market?
Manufacturers are continuing to focus more attention on electric vehicles (EVs):
Are they really? I get the impression many big manufacturers are turning away and re looking towards hybrid, as manufacturers push back on dates.
This means there are fewer petrol and diesel cars in the market, making them more expensive to get on the Scheme. So, you might notice some Advance Payments have increased for these cars:
Again really! Whils’t taking into account above, there still remans a substantial price gap of at least £10k between the price of a petrol car and it’s BEV equivilent.
What Motability continue to try put across, just doesn’t stack up outside the scheme. What they have really chosen to do is, open their doors to manufacturers, as an outlet for them to meet their BEV target, in the hope of getting something in return. You have only got to look at the AP’s of BEV’s to realise, Motability would be making a huge loss, if they didnt get something in return. We all know Motability doesnot exist to make a loss!
Abarth Still showing although it has gone up in price to what I have paid if you can hold of one that is as they are like hens teeth a dealer told me Automatics are good luck still maybe some coming through so shop around.
It’s really getting quite difficult to see what the real strategy is from manufacturers around their BEV plans. As soon as someone senior even hints at pushing development plans back then some press will be reporting dramatic changes to policy and a potential dropping of EV development. Meanwhile, reality could be anything from a design snag they’re trying to solve or a delay waiting for testing of the next big battery improvement.
Demand has slowed, I’m pretty sure for all cars, as confidence in the economy becomes a little shaken with all this ‘black hole’ stuff the new government is stating. Until there’s a budget showing exactly what the spending and taxation plans look like everyone seems to be putting off big spends.
There needs to be further clarity from the top on BEV deadlines, I’ve heard that 2030 is back but it’s been so quiet that I’m unsure of its validity. If the government actually want this deadline shifting, they need to be bigger and louder than when it was pushed back and they need to tackle the propaganda certain aspects of the media are still spouting despite being debunked several times over.
Meanwhile, confidence in used BEVs appears to be uncertain. When you buy a petrol car at 3 years old you’re pretty confident it’s going to be relatively reliable for the next 3 years. Due to a lack of history showing any pattern, it seems too many are less confident of the mechanically simpler BEV being equally as reliable with the focus being on the high voltage system which is mostly still in warranty. Until the massive uplift in models from the 2018-2022 releases have been through that 6 year cycle the press nonsense about batteries failing and costing more than the car is worth will perpetuate.
All this has a long term effect on residual value which Motability appears to be spreading throughout the scheme. You’d hope that if a car had a low residual the AP for that car would reflect this, yet there are BEVs still reducing or maintaining their APs whilst others are being clobbered.
I’ve no confidence in the validity of the video, it all reads to me as general bluster that might appease some complaints but only from those who don’t look any deeper into what’s happening everywhere else.
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
They are correct to a degree, insurance has def increased a lot, also manufacturers are kind of pushing back on the EV push but are still trying to move but at a slower pace perhaps? i get the increase in some petrol/diesel cars due to the threat of fines if they sell too many also some EVs have dropped in price and some have increased in price. The PHEV doesnt make sense to me but could for many others. I had one in 2014 but it spent more time in the garage broken than i had it and ive been with petrol/diesel since.
I think a lot of the time its whether a manufacturer wants to shift numbers. Ford Explorer (based on VW ID platform) has increased a lot in Q4 but Ford were running a 0% campaign since launch for private buyers till end of Sept and will prob extend it.
VW ID range has dropped a lot to make them more attractive and i suspect VW have a lot sitting ready to go and really want to move them on so lease/motability is a good way to shift metal.
Mercedes too has dropped in price for the EQA i think, poss a new model coming out and they didnt shift as many of these as they wanted to?
Many manufacturers will have to guesstimate how many RHD cars to make as the RHD versions are only sold in a small number of countries compared to LHD, these wont be converted back to LHD and resold if the UK versions dont sell, they will be stuck with them. So some will have maybe made more than they sold and now need to move them on.
Overall its an increase but still a good scheme and hopefully most will find something they like and is suitable for their needs.
To put it bluntly Motability are taking the mickey with current AP price increases.
There are just a few gems remaining that are worth the AP that is being asked of us to pay.
Possibly on some i agree, but also the base benefit hasnt increased with inflation like it should have. I dont know what profits they make etc but they did help increase the good condition bonus and also the new vehicle payment. Also the grants scheme could help some.
I dont think we will see the pre-covid days again, the used car market is a bit of a mess just now and gov needs to confirm one way or the other what they want so everyone else can make a better decision.
Many manufacturers will have to guesstimate how many RHD cars to make as the RHD versions are only sold in a small number of countries compared to LHD, these wont be converted back to LHD and resold if the UK versions dont sell, they will be stuck with them. So some will have maybe made more than they sold and now need to move them on.
I don’t believe manufacturers work on that principle of guessing how many cars to stock pile, especially western manufacturers, who moved to a Just In Time principle along time ago, so will work on a factory order basis after the initial push for a new model.
Interesting that they now have 50 000 Electric car customers, 6.25%, I thought it would have been much higher.
I’m surprised at that too, given how hard they’ve been pushing them. That’s even less than the overall market which, I believe, is now at about 17% of new car registrations. Given that Motability customers don’t have many of the worries that are putting private buyers off (high up front costs, charger installation costs, residual value worries etc) I would have expected the take up to be higher, especially as many Motability customers do very low mileages which makes EVs more viable. I remain of the view that these mandate targets will have to change. No government can enforce a change of this magnitude if the general population doesn’t support it, and it is clear from the take up statistics that they don’t. Watch this space.
Top picks from Motability
“Here’s a few picks from our latest price list.
From £199 – Jeep Avenger Longitude, automatic, electric
From £499 – MG3 Trophy, automatic, hybrid
From £749 – Nissan Qashqai Acenta Premium, manual, petrol
From £749 – Vauxhall Mokka Ultimate, manual, petrol
From £849 – Hyundai Kona Advance, automatic, electric
From £999 – Volkswagen ID.4 Match, automatic, electric”
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