How much does it cost to run a family car?

AA Ireland has said the cost of running a car has increased this year despite a significant drop in fuel prices.

The average cost of running a family car is €10,849.42 a year*, an increase of just over €255 since last year.

Meanwhile, there has been an 11% drop in fuel prices.

Director of Consumer Affairs at AA Ireland Conor Faughnan (pictured) said the increase in the overall running costs was down to soaring car insurance premiums.

He said: "We should be taking about how fuel has dropped (by 11%). In normal circumstances that would be the story, but those gains have been wiped out by the huge surge in the cost of motor insurance - a 38% increase in premiums over the last year.

"That's a sore blow to the two million motorists out there."

*The AA calculates the annual cost of motoring each year using a catch-all figure that includes obvious things including fuel, insurance, servicing but also factors in a whole range of other costs. These include costs like depreciation and interest charges, as well as replacement for components such as tyres etc over the car’s life. The figure assumes a motorist that buys a new car and retains it for 8 years at an average annual mileage of 16,000 kms. All repairs, replacements and servicing are carried out as per manufacturer’s recommendations.

More here..