Car ownership costs have skyrocketed by an eye-watering 84 per cent over the past decade with drivers now struggling to own a vehicle.
Experts have estimated that drivers could be forced to pay up to £30,000 in their first year of purchase as drivers are warned to prepare for cost hikes.
The sharp increase in costs comes as the price of car insurance, parts, fuel and taxes have put financial strain on Britons.
Analysis of the most popular car brands found that 10 years ago, the average cost of ownership was roughly £16,000 in the first year, more than £7,000 less than this year.
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Audi owners have seen prices increase by just 1.4 per cent since 2014
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Of the 10 most popular vehicles in 2014 and 2024, theAudi A3, Volkswagen Golf and Nissan Juke stood out the most as demand was retained despite the cost of ownership becoming considerably more expensive.
For the Nissan Juke, the cost of ownership was £15,035 in 2014 but has since risen 68 per cent to £25,341 in 2024. Volkswagen Golf drivers are also paying 65 per cent more than they did a decade ago with prices now £29,240.
However, the cost of owning an Audi A3 has only risen modestly by 1.4 per cent to £31,335 in 2024, making it the lowest spike in prices.
Despite the increase in costs, OC&C Strategy Consultants stated that the desire for car ownership has remained steady despite the “luxury” element fading.
OC&C reported that in the UK, the number of drivers who see the purchase of cars as a status symbol has dropped from 37 per cent in 2021 to 31 per cent in 2024 showing a shift in attitudes towards car purchases.
Felicity Latcham, Associate Partner at OC&C Strategy Consultants said: “When consumers do buy, they think about budget first over the make or model, with around six in 10 agreeing that they start their search for a car with the budget in mind. This trend is the same in both the UK and the US.”
Insurance has also contributed to increasing costs of purchase as well as the cost of fuel which tracked “far below” inflation in the UK.
Latcham added: “The UK has experienced a 51 per cent cumulative general inflation and a 47 per cent increase in motoring costs since 2014, in line with average wages, which also rose by 47 per cent.
“The future of the automotive industry will rely heavily on manufacturers providing competitively priced models for the mass market. As younger generations drive this change away from status symbol models, and gain more purchasing power, we do not expect this trend to reverse.”
Uncertainty over motoring costs could be quelled as more drivers make the decision to switch to an electric vehicle in the coming years.
Data from the group detailed how 22 per cent of drivers would only need a £1,000 discount or less to consider switching to an EV from their current petrol or diesel car.
“Suppliers and retailers can win by providing well-priced options alongside attractive financing. or potential ‘full subscription’ packages for consumers,” Latcham stated.
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Drivers pay more than £7,000 in 2024 than in 2014
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In other cost saving ,measures, experts have suggested that by planning petrol station stops it lead to significant savings. Apps are available to help drivers find and plan for the cheapest fuel spots. Through these measures motorists could save over £120 a year on fuel costs.
