The Motability Charity published an announcement on their website early in September warning customers of suspected price rises in the final quarter of 2020. Every 3 months the charity renegotiate prices with car manufacturers, which are now likely to be influenced by rising manufacturing costs, changing models in the automotive industry, and restrictive measures caused by the Coronavirus pandemic.
The message on their website advised customers in the final 3 months of their agreement to ‘act quickly and get your applications in ahead of October’. ‘This will give you the best chance of securing the vehicle you want, and protect you from the risk of future price rises in coming months.’
Suspected price rises for Motability lease deals have seemingly been laid at the feet of the automotive industry and changing practices that are starting to influence the production costs, retail price and availability of cars. Cars are generally becoming more complex as new models tend to feature the latest technology for safety and fuel economy, which is both more expensive to design and manufacture.
New industry standards too for vehicle testing has forced manufacturers to streamline their manufacturing processes and Motability warn this could potentially restrict the availability of cars in the future. It may also cause the decline of certain types of cars like MPVs (multi-purpose vehicles) as manufacturers phase out production in favour of more popular models.
Nevertheless, regional lockdown restrictions, job losses and general disruption caused by coronavirus and active COVID-19 measures are all likely to have played a role in any suspected price rises. The disruption of global supply chains that has limited the production and supply of car parts means factories are generally producing fewer cars and Motability suggest this has the potential to lead to a shortfall for customers.
If customers nearing the end of their lease deal want to act quickly, they should book an appointment with a local Motability dealership and bear in mind they are likely to be busier than usual given the social distancing rules that are now applicable in England, Scotland, Wales and Northern Ireland.
You can contact your local Stoneacre Motability dealer and discuss your renewal with one of our specialists before the end of the month. We have more than 50 dealerships across the UK offering award winning Motability services and a range of Motability cars from more than 20 different manufacturers.
The new prices for the scheme will take affect from Thursday October 1st. Motability customers should be reminded that if they do find a car that they need for their own mobility requirements that is now outside of their budget, the Grants Team at Motability are available to assist with charitable support in these situations.