Industry News

Drivers pay price penalty to meet ULEZ rules

posted on 02/08/2023
ULEZ expansion to proceed in London after High Court challenge fails - RAC reaction

Drivers are having to pay a ultra-low emission zone (ULEZ) “premium” of more than £3000 in some cases to buy popular car models which follow the new emissions rules according to new Auto Trader research.  

With the extension of the ultra low emission zone looming, the latest research from the UK’s biggest online car marketplace compares price data on ULEZ compliant models of some of the most commonly sold models with their non-ULEZ compliant predecessors just a year older.   

The research, which focuses on 2015 diesel models set to be caught by Mayor Sadiq Khan’s extension of the ULEZ to the outer London boroughs, reveals the price premium being paid for models registered only a year later but – crucially - following the rules. 

A used Volkswagen Golf 2016 model costs £3,601 more than a 2015 non-compliant model - an increase of 28% from £9,445 to £13,046.  Similarly, a used Ford Focus 2016 model costs £2,828 more than a 2015 non-compliant model; an increase of 27% from £10,336 from £7,508. 

Other popular sellers in June displaying a large ULEZ “premium” include a 23% or £2220 difference between a 2015 and 2016 Nissan Qashqai, a 16% or £2594 jump between a 2015 and 2016 Land Rover Epoque, and a 13% or £1645 difference between the 2015 and 2016 BMW 3 Series.

The extended ULEZ will force drivers to buy compliant vehicles or pay £12.50 a day in charges. ULEZ compliance is based on fuel type and euro emissions data which the TfL website states generally includes petrol vehicles registered after 2005 and petrol vehicles registered after 2015.  Five affected councils have challenged the extension in a judicial review.

Ian Plummer, commercial director of Auto Trader, said: “This is hard evidence of the distortions in the market caused by the ULEZ extension. While the overall used car market is in good health nationally, drivers are having to pay a price penalty to follow the rules in London.

“This doesn’t need to be a case of pocket over planet, it is possible to achieve both but it’s vital we get the balance right between the carrots and the sticks or we’ll lose people along the way.”

Cheaper options to comply with the rules are still available before the ULEZ extension comes in on August 29th, according to Auto Trader data.  As of June 2023, the three cheapest compliant cars for sale in London across different models are a 2007 Vauxhall Astra at £2,172, followed by a 2006 Ford Focus for £2,250 and a 2007 Vauxhall Corsa at £2,804.  Auto Trader lists the ten best deals within London for compliant models below:
 

1.

Vauxhall Astra

2007

£2,172

ULEZ compliant

Petrol

2.

Ford Focus

2006

£2,250

ULEZ compliant

Petrol 

3.

Vauxhall Astra

2008

£2,483

ULEZ compliant

Petrol

4.

Ford Focus

2007

£2,492

ULEZ compliant

Petrol

5.

Ford Focus

2008

£2,569

ULEZ compliant

Petrol

6.

Vauxhall Corsa

2007

£2,804

ULEZ compliant

Petrol

7.

Vauxhall Corsa

2008

£2,935

ULEZ compliant

Petrol

8.

Ford Fiesta

2008

£2,949

ULEZ compliant

Petrol

9.

Vauxhall Corsa

2009

£3,107

ULEZ compliant

Petrol

10.

Vauxhall Astra

2009

£3,159

ULEZ compliant

Petrol

 

*Article Source www. newspressuk.com

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