Car Prices Set To Increase In 2020 Under EU Rules – Find Out Why?
Friday, 19. July 2019
As anyone who is looking to change their cars can tell you, like for like cars are rising in car and lease cost. Normal inflation, raw material increases, poor exchange rates, removal of discounts by European manufacturers, lack of stock, poor used car values and emission rule changes resulting in upgrades to engine and exhaust systems have all contributed to the increases.
So whilst you can offset some of the increases by changing to another vehicle altogether with some extra discount attached the EU is set to impose some new regulations that come into force in 2020 that will increase ALL cars. As we are set to retain these rules with or without a deal we won’t be able to avoid the increased costs.
New rules regarding safety features are set to be imposed on all new models launched from 2020 and all new vehicles sold 2 years later. This means that new cars that haven’t been fitted with the new safety features can be sold up to 2022, after which they must all be fitted with them.
A total of 11 standard safety features will be introduced at a total cost to the manufacturer of over £1,000, in some executive models substantially more. For most mid or top end cars this isn’t a great deal of money compared to the cost of the car but for entry models it will have a substantial effect.
The main changes proposed are as follows:
Autonomous Emergency Braking (AEB): This is now fitted as standard to many mid and upper range cars whilst others include it as part of a safety package. The system senses an obstacle in front and applies the brakes for you. Considered to be a life saver this will have general support. AEB is now part of the NCAP safety test where fitted but whilst it is available on 51% of all cars sold in the UK, according to the SMMT only 30% of cars have it fitted as standard. Cost of fitting: £200 – £1,300.
Alcohol Interlock: Also known as built-in breathalysers these sensors will pick up if the driver is intoxicated and does not allow the car to start. Cost of fitting: £500 – £1,200.
Lane-Keep Assist: Fitted to many cars as standard this warns the driver if he’s drifting out of lane. Cost of fitting: £300 – £700
Accident Data Recorder: Best described as the accident black box in an aircraft. It will provide information to insurance providers in the event of an accident as well as vital information to those looking at ways to prevent accidents going forward. Cost of fitting: £300 – £500
Intelligent Speed Assist: This uses GPS mapping and speed sign recognition to warn drivers when they exceed the speed limit. Cost of fitting: £160 – £220
Parking Sensors: Most people are aware of them and their use. It looks as though rear sensors will be mandatory, not front. Cost of fitting: £100 – £250.
Driver Drowsiness and Distraction Monitors: As the name suggests the system picks up erratic driving behaviour as well as drifting out of lane. Cost of fitting: £150 – £400
These are the main additions aimed at reducing deaths and serious injuries across Europe. The aim is to eliminate road deaths by 2050 although it looks as though we aren’t on target as road deaths in the UK alone has flattened out. In 2017 there were 1,720 compared to 1,792 in 2016 which was the highest since 2011. So there you have it, the reason why rates are set to increase from 2020.
However, in the long term these changes will help to bring down the cost of autonomous cars as these will be essential developments when autonomous cars are designed made cheaper if the technology is already available. By Graham Hill
