Cost of private
motoring
If you drive less than 6,000 miles per year then a car club will be likely
to save you around £1000 and £1500 a year. Replacing a second family car with
car club membership is likely to bring even more cash savings.
Most people do not think about the true cost of running a car which once you include the finance cost, depreciation, tax, MOT, petrol, servicing, repairs, and parking add up to an average of over a hundred pounds a week.
Some real examples of car running costs:
£5413 to run a Ford Focus doing 12,000 miles per year
or £3479 for a Vauxhall Corsa doing 6,000 miles per year
Source: RAC cost of motoring report 2004
References
Cost of car clubs
Car clubs give you greater flexibility charging only for the time you use the
car not when it is sitting on the drive. Car clubs allow you to free up the travel
budget to use on trains and buses or taxis when that is the more convenient way
to travel.
The Carplus leaflet 'Add up your car costs' can be used to calculate the true cost of car ownership, (order paper copy).
This has been incorporated into an Excel spreadsheet 'Add up your travel costs' which allows you to compare your travel costs before and after joining a car club.
If you would like help completing this then contact the office on 0113 234 9299.
Typical car clubs costs:
| Club A | Club B | |
|
Fixed costs |
||
| Membership fee | £25 one off joining fee | £15 /month |
| Returnable deposit to cover any insurance excess incurred | £100 | £100 |
| Cost per journey | ||
| Hourly rate | £4.95 | £2.80 - £3 |
| Mileage rate, including fuel | 1st 30 miles free after that 19p | 17p - 18p |
| Over night fee | £0 | £0 |
| Daily maximum | £49.50 | £36 |
Rates may vary depending on the car club and the size of the car.
Businesses can reduce the cost of owning, running and
administering company pool cars by joining a car club as a corporate member. Employees can then book the cars as
and when they need them for work trips. This has been proved to have the
knock-on effect of discouraging car commuting – staff no longer have to drive
to work as they can use car club vehicles during the day. Other
advantages include freeing up parking space or locating in more prestigious city
centre offices with less parking.
Cars affect how we live and run our economy in a
whole host of ways. Significant economic benefits can be made from having fewer,
more efficiently run, shared vehicles on the road.
o
Delays from congestion make business less efficient.
o
The cost of road accidents puts extra burdens on the tax payer.
o
The need to supply sufficient parking hinders city regeneration as ever increasing parking spaces are required.
o
Increases in insurance premiums can be attributed to global warming
o
Pollution clean up costs have to be met by business and government.
Accidents
lead to social costs of £2 billion per year, and greenhouse gas emissions, air
pollution, noise and infrastructure cost a further £2 billion.
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