Studying to drive and shopping for a automotive is usually a vital monetary dedication, particularly within the midst of a value of dwelling disaster. Regardless of the prices, new car registrations elevated by 18.2% in 2023 in comparison with the earlier yr.
Uswitch automotive insurance coverage performed a survey to analyze the principle causes new drivers are studying to drive and what automotive possession prices they thought of prior to buying their first automotive.
Causes new drivers attain their licence
| Cause | Share of respondents |
| Independence | 35% |
| Journey flexibility | 22% |
| I needed to study for my job | 11% |
| As an alternative choice to public transport | 11% |
The highest causes new drivers attain their licence is independence (35%) and journey flexibility (22%). With greater than 1 in 6 jobs within the UK requiring a driving licence it’s no marvel that the third most typical purpose to study to drive is for work (11%).
Regardless of independence being the principle purpose new drivers resolve to study, on the subject of buying their first automotive, the survey revealed that almost all can’t afford the monetary dedication themselves. Over a 3rd of respondents (37%) acquired assist from their household, both via a member of the family gifting cash in the direction of the acquisition or gifting them the automotive.
The survey additionally revealed that many first time drivers are unaware of the extra prices of proudly owning a automotive, a lot of that are a authorized requirement.
Listed under are a number of the key prices that the survey revealed new drivers didn’t find out about:
- Gasoline: Greater than 1 in 4 new drivers (27%) don’t consider the price of gas when shopping for their automotive, regardless of independence being the most typical purpose for studying to drive.
- MOT: 36% of latest drivers are unaware of MOT prices. In accordance with Halfords, 1 in 6 drivers mentioned they can not afford their MOT renewal, nonetheless 71% nonetheless intend to drive their car, risking a nice of as much as £1,000.
- Breakdown cowl: Over half (54%) of latest drivers don’t find out about breakdown cowl. One restoration firm alone (RAC) attended over 29,000 breakdowns in 2023, highlighting the chance of being stranded on the aspect of the street.
- Automobile tax: Over 1 in 3 new drivers (38%) will not be aware of the price of automotive tax. From April, the flat fee of automotive tax after the primary yr can be £190 for petrol and diesel vehicles.
- Automobile insurance coverage: Regardless of automotive insurance coverage being a authorized requirement within the UK, 1 in 4 new drivers (25%) had been unaware of this outgoing. In 2023 the typical value of a totally complete coverage for drivers who’ve held their licence for lower than a yr was £1,707.23. It is because new drivers are seen to be a much bigger reckless driving danger and have much less expertise with driving, pushing up their premiums.
Uswitch automotive insurance coverage knowledgeable, Leoni Moninska, shares high recommendations on what to contemplate earlier than turning into a automotive proprietor:
“When you’ve obtained a driving licence and determined you need to purchase a automotive there are a selection of things to contemplate. You’ll want to make sure you’re financially ready for the dedication and resolve what automotive is best for you:
- “Accounting for added prices: It’s essential to make sure you’re conscious of and have accounted for all prices related to proudly owning a automotive.
– On high of the automotive itself, sure working prices equivalent to gas, insurance coverage and automotive tax are unavoidable so have to be factored into your finances.
– Different prices equivalent to MOT expenses depend upon the automotive you purchase. Driving to sure locations can even contain prices, like congestion cost in city areas, or toll roads.
– Estimating your month-to-month automotive utilization and utilizing that to work out the full of all obligatory bills may help you assess affordability. It’s additionally a good suggestion to consider emergencies by placing further cash apart for upkeep and restore prices so that you just’re ready. - “Deciding the place to retailer your automotive: The place you retain your automotive is a crucial issue as it may well affect insurance coverage quotes, the security of the car, and parking prices.
– When you have a driveway, that is essentially the most wise place to retailer the automotive. Parking in a storage doesn’t essentially make insurance coverage cheaper as driving out and in of the storage might lead to accidents.
– When you don’t have a driveway, yow will discover roads with free parking, or you might have to purchase a parking allow (the eligibility and value of which is able to rely in your native council).”
