No appeal of sub-£10k cars with VED of £500 ?? - The Gingerous One

Hi,

As some of you may know, I swapped my Jaguar XF 3L petrol for a Rover 600 earlier this year.

It is now 4 months since I did this, and I can still see my old XF for sale on AT. Recently the seller (trader) reduced the price by about £800 so it's now just under £9k.

But I wonder whether the £500/yr VED would put people off these cars @ this price level ?

I guess it's not a new problem, any car registered after 23/3/06 that emits >225g/km of CO2 is subject to this, but I bet it's not helping.

Mind you, we are still a way from the £5k level, where VED of £500 would make a big difference....

cheers

Stu

No appeal of sub-£10k cars with VED of £500 ?? - Falkirk Bairn

>>But I wonder whether the £500/yr VED would put people off these cars @ this price level ?

Hence the new Road Tax from 1st April - big engine cars tax drops after 5 years to £141!

No appeal of sub-£10k cars with VED of £500 ?? - RobJP

Yes, I'd agree. It hugely affects the desirability of such cars.

It's seen as a considerable lump of money, on top of insurance, fuelling costs, etc. Though you do seem to get people who looks at it as "OMG, £500 a year in car tax", as opposed to the reality, which is "An extra £200 compared to what it was if registered before the cutoff date".

The same thing has sort-of happened with the new 'over £40k' tax bands. '17' plate cars registered in March are far more desirable than those registered in April, because those registered from April onwards have an extra £310 per annum for 5 years.

No appeal of sub-£10k cars with VED of £500 ?? - Terry W

It's not just the road tax which may cost up to another £500pa.

It makes little difference if you only do 2-4k pa - the extra cost is much the same as many hobbies - golf, football tickets, a reasonable meal for two each week etc.

But if you do say 12k pa the difference in cost between (say) a mid range Focus or Astra and 5-7 year old larger premium car is significant:

- fuel: about 50mpg vs around 35mpg = £500 pa

- set of tyres £240 vs £500 for premium

- general repairs: 1/2 year old hatch still in warranty vs £250-1000 for luxobarge

- servicing: £125-175 vs £250-500 for luxobarge

Overall the older nicer car would cost around £1500+ more pa to run - serious money not a trivial indulgence. Bear in mind if you buy a lemon a bill for £'000's is entirely plausible.

Individually we make up our own minds - modern, smaller, cheaper, functional or older, risker, costlier, larger. Car buying is driven at least as much by emotion as rationality - although we often somewhat dishonestly choose to rationalise the emotional.

No appeal of sub-£10k cars with VED of £500 ?? - SLO76
£500 plus road tax kills the resale on anything short of high value metal. 911's, other exotica. Old Saab 9-5's, Honda Legends, big Jag saloons etc etc are next to unsalable if they fall into the higher brackets.

But if used as a bargaining tool with the knowledge that few others will be interested in said car it can allow you to get a very cheap car. You need to factor in that horrific annual tax bill and the fact that it'll have zero value when you come to sell on again but buy wisely and negotiate hard and you can get a lot of metal for your money.

Joe punter would rather save £230 a year buying the 2.7 diesel despite the very high likelihood that this saving will be small fish compared to the later repair costs the more complex and troublesome diesel will incur.
No appeal of sub-£10k cars with VED of £500 ?? - RobJP
£500 plus road tax kills the resale on anything short of high value metal. 911's, other exotica. Old Saab 9-5's, Honda Legends, big Jag saloons etc etc are next to unsalable if they fall into the higher brackets. But if used as a bargaining tool with the knowledge that few others will be interested in said car it can allow you to get a very cheap car.

Which was exactly what we did when buying our 2007 Shogun Sport 3 years ago. It only does about 5k miles a year - it's used for towing a livestock trailer and on the fields, and I use it for shooting from when I'm out foxing. It gets a decent run every few weeks, but it's only done 15k miles since we got it.

But it was an old model, not very popular, had a bit of an EGR fault when we bought it, and had that £500 car tax. So we got it for a bargain price, even considering all that. Some diesel booster, a new air and fuel filter, and a bit of ragging it got the EGR working again, and it still pulls like a train now.

I get under it and scrub off the rust with a wire brush, then prime it and give it a good coat of waxoyl each autumn, and as long as it continues to do what we need it to do then we'll keep it.

Edited by RobJP on 29/06/2017 at 15:24

No appeal of sub-£10k cars with VED of £500 ?? - JohnX

Terry W I must say that your figures are quite conservative especially if the luxobarge is of an older vintage as mine is and if your yearly mileage is higher.

I purchased a Lexus LS 430 2 years back for £2400 and have done a good amount of miles.

In the last 2 years since purchase I have spent about 400/month on fuel .

Thats about £9000 over two years (guzzles fuel as its a 4.3 litre)and other costs have taken up about £5000.

Not an inexpensive undertaking but I am not complaining as this is the best case scenario and I had anticipated this when I bought the car.

This is without anything major going wrong,if that happened it will be a case of scrapping the car as it would not be worth repairing it.

I have been lucky with this car and have heard of horrendous bills with others who havent been so lucky with large engined older cars that go wrong.

No appeal of sub-£10k cars with VED of £500 ?? - gordonbennet

I simply can't give £500+ to any of the mobs that our electorate insist on voting for time and again to throw up the wall, if i was to have a £500 ved vehicle it would have to be some 500hp jobbie that gives tree huggers nightmares.

I suspect its given a new slant on ringing though, wonder how many 2006/8 high ved cars have morphed identities to 2005 models, similarly how many 2006 on cars are now breakers keeping 2005 and older models going.

No appeal of sub-£10k cars with VED of £500 ?? - The Gingerous One


>I simply can't give £500+ to any of the mobs that our electorate insist on voting for time and again to throw up the wall,

No no, it goes to pay the state pension, teachers/doctors/nurses salaries...it just goes into a big pot remember ??

It is quite interesting looking at the petrol XF's under £10k on AT, there are a few including my old one that have been hanging around around for a while.

Despite other people telling me that I should have sold mine privately rather than via WBAC, at least I have had the cash in the bank/other investments for over 4 months now, whilst my old XF is still hanging around in the trade and so isn't my problem. There was only a few hundred quid in it so as far as I am concerned, my snap intuitive decision in WBAC office to sell was the right one.

The Jag was a good car, there are some things I do miss (the luxury, ride, power, a working clock) but others that I don't. The 570 miles from one tank I got with the Rover recently would not be possible with the Jag.

 

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