Following in the footsteps of their German competitors and fellow importers, Hyundai and the PSA Group have now also introduced discounts on the purchase of new vehicles in Germany when an old Euro-1 to Euro-4 diesel car is traded in.

In the case of Hyundai, a bonus of between €2,500 and €10,000 is available until the end of 2017 when an older diesel car which conforms to the Euro-1 to Euro-4 emission standards is traded in. The only key condition of the ‘Green Deal’ scheme is that the car to be traded in must have been registered in its owner’s name for at least six months. All petrol and diesel Euro-6 compliant Hyundai cars are eligible for the bonus, including the hybrid version of the Ioniq. However, in an approach which mirrors that taken by other brands such as Ford and Opel, Hyundai’s electric vehicles (EV) – namely the plug-in hybrid and pure electric versions of the Ioniq – are not included in the offer. Nevertheless, these vehicles are of course still entitled to the German electric vehicle incentives, which amount to €3,285 for the Ioniq plug-in-hybrid and €4,380 for the fully electric variant.

The incentives on offer start at €2,500 for a Hyundai i10 and an ix20 and rise to €3,800 and €4,000 respectively for the i20 and Ioniq hybrid. For the Hyundai i30, Tucson and H-1, customers are entitled to a discount of €5,000 on the purchase price and the maximum €10,000 discount is available for buyers of the Hyundai i40 estate and Santa Fe or Grand Santa Fe SUVS. As with most other schemes, the bigger the car the greater the incentive. One additional noteworthy point, however, is that customers who trade in a Euro-4 compliant diesel are, according to the Hyundai press release, entitled to ‘a fair market value for the end-of-life vehicle from the participating Hyundai dealer beyond the promotional premium.’

Markus Schrick, managing director of Hyundai Motor Deutschland GmbH, said in Wednesday’s release that:

‘Environmentally-minded drivers are guaranteed to find the right vehicle at Hyundai. Whether you choose a petrol, diesel or hybrid powertrain. A modern powertrain is part of the DNA of every new Hyundai. And in comparison to many other manufacturers, our customers can top up the campaign bonus with the trade-in payment for their old Euro 4 diesel.’

Read more: Autovista Group

July saw the UK’s electric car market have its best performing month ever, taking a little over a 2% market share for the first time.

Significant growth for both pure electric models and plug-in hybrids combined with an overall decline in sales for the 2% figure to be reached. Pure EVs had an exceptional month, up 105% on July 2016 with 860 models registered. PHEVs still fared well, with a growth of 43% vs last year.

The strong performance of plug-in vehicles contrasts strongly with diesel’s performance, which continues to fall significantly. With 20% fewer sales than last year, the UK’s drop in new car registrations across all fuel types is largely attributable to this. Petrol cars were down 3% too though, and it is only alternatively fuelled cars – including hybrids – that was positive performances.

To date, there have now been more than 107,000 plug-in car grant eligible vehicles registered, 3,277 of those in July 2017. Last month’s figures were 50% up on the year before, and almost 25,000 PiCG-eligible models have been registered so far this year, up around 4,000 units compared to the same period in 2016.

In terms of EV market share, PHEVs had a far stronger month than in recently, with three quarters of plug-in car sales. Total electric car registrations came in at 3,503 for June, which also shows that more than 6% of plug-in car sales were not eligible for the PiCG. Whether that’s because of price or emissions/electric range, we don’t know.

All in all, July was a very positive month for electric cars and further typifies the shift away from diesel in the public consciousness. With recent news pieces about a ban on non-electrified new car sales in the UK from 2040, plus other announcements from manufacturers, it seems as though drivers are looking at plug-in models more than ever before.

Although July’s registrations were the sixth highest figures ever for the UK plug-in car market, the far more important aspect is how many are sold in comparison to conventional internal combustion cars.

July is typically a fairly quiet month for the market, only a little ahead of February and August – the months before the new registration plates – in terms of overall sales. It is encouraging then to see that plug-in cars are actually increasing in popularity while petrol and diesel sales – the latter especially – drop.

Source: Next Green Car

Buying a car can be fun but also a little overwhelming. It’s easy to get swept up in choosing makes, models, colours, and added extras for your car. However, in the rush to find something you like in the moment, you can often overlook long-term costs.

There are certain things that you just can’t be sure of. For example, car insurance will vary greatly depending on the type of car you have, your age, your driving history, and numerous other factors. But you can inform yourself of long-term maintenance costs. Choosing the right model could save you a huge amount of money over the lifetime of your car.

Aviva Insurance recently looked at how much hatchback, estate/saloon, convertible, SUV and electric/hybrid cars cost over their lifetimes. Their research assessed the main expenses of popular models for each category of car in current dealerships.

Stuart Masson from The Car Expert has reviewed each of these models with us to provide some invaluable advice when choosing your next car.

Hatchback

Masson says,

“Hatchbacks are still the most popular type of car sold in the UK, every day, week and month of the year. They are generally very practical and fuel efficient, and relatively inexpensive for servicing and repairs.”

Hatchbacks are the cheapest for maintenance at an average of just £121 annually, however, as with all non-electric vehicles, the cost of fuel can really add up over time.

Estate/Saloon

Estate and saloon cars fared worse than hatchbacks, due to the fact that they’re larger and use more fuel. At an average of £1519 for tax, maintenance and fuel, they’re nearly £400 a year more expensive than their hatchback cousins. Masson adds that

“depreciation is usually worse so you will lose more money over the first few years.”

Convertible

According to Masson,

“UK drivers buy more convertibles than anywhere else in the world. But you do pay for the privilege of dropping the top; convertibles cost more than equivalent coupés, and driving at speed with the roof down will seriously affect your fuel consumption.”

Tax is significantly higher than other types of car on the list, and this could increase under new tax rules if the car is worth more than £40,000.

SUV

Masson states that buying an SUV for most people is “a case of style over substance.” He states, “most so-called SUVs have little to no off-roading abilities and will never see anything more challenging than a gravel driveway.” As you can see, their costs are very high in each category. Masson says this is because

“they are often based on normal hatchback models, but you are paying more money and getting extra weight, poorer fuel economy and higher levels of pollution, all to enjoy that chunky SUV styling and feel.”

Electric/Hybrid

As you can see, the running costs of electric/hybrid cars is unrivalled. The cars Aviva Insurance looked at include both, which means the cost can be lower or higher depending on which car you choose. If you go for an electric model, you won’t have to pay fuel or tax but you will need access to a charging point – which is becoming much easier with thousands being installed across cities like London. In terms of hybrids, Masson says,

“around town, you can use the electric motor for clean, quiet urban driving. And out on the road, you have a petrol engine to give you the range you need.”

The results show that hatchback, hybrid or electric models will save you the most money over the course of your car’s lifetime. However, with recent plans to ban all diesel and petrol cars by 2040, selling non-electric vehicles on may become a challenge.

As a society, we are becoming more and more environmentally and financially conscious, and with that, the future is looking cleaner, greener… and electric.

Research Source: Aviva

Car tax is set to be overhauled this April, so what’s changing?

From 1 April 2017 the way car tax is figured out is set to change for any vehicles registered after this date. The change could be seen as good news for owners of electric or hybrid vehicles.

How will the new tax rates affect me?

While measures are being put in place to curb congestion and reduce air pollution with the investment of millions in congestion-cutting technology, could increasing the number of electric cars on the road be the solution?

The government seems to think so as it is introducing a change to the road tax system.

As it stands all vehicles, except for pedal bicycles, are subject to Vehicle Excise Duty (VED), also known as road tax. It is split into several bands, based on CO2 emissions but as of 1 April, all electric vehicles will move into band A, which means drivers of electric vehicles will no longer pay road tax.

If this news has you thinking electric cars could be for you but aren’t quite sure which kind to buy, it’s worth noting  plug-in hybrids are also exempt, but not pure hybrids. This is because they still produce emissions, and only vehicles that produce either no emissions or emissions less than 100g/km are exempt from VED.

Further changes to the vehicle tax rates will take effect in April. The tax payable on a new vehicle for the first twelve months will be calculated based on its emissions – the higher the emissions, the higher the tax. This only applies to new vehicles registered after 1 April 2017. All vehicles registered between March 2001 and April 2017 will pay tax based on the old rates.

How can I save money on an electric car?

Buying an electric car can be quite expensive – something which will hopefully change as their popularity increases – but the good news is the plug-in vehicle grant has been extended to March 2018. This gives motorists money towards the cost of an electric vehicle, up to 35% of the cost of the vehicle. The maximum amount given is £4,500.

What it means for owners of diesel and petrol vehicles

It may still be expensive to purchase an electric vehicle, but they are expected to become cheaper over time. According to predictions by analysts at Bloomsberg New Energy Finance, the drop in battery costs could result in them being cheaper overall than petrol or diesel models by as early as 2022. Being exempt from VED will certainly contribute to this.

If you’re looking to buy a petrol or diesel vehicle, you could start paying up to £450 per month in tax. New vehicles worth over £40,000 will be taxed at the new rates for the first twelve months, after which, petrol and diesel owners will have to pay an additional rate of up to £310 per month.

Expensive as electric vehicles can be, their owners could potentially save money in the long run. Not only will you no longer have to pay expensive fuel prices, but you may well pay absolutely nothing in road tax and could qualify for the plug-in vehicle grant.

Source: Admiral Insurance