Cost of running an average family car increases by €400 since 2005
It reveals that the cost of running an average family car rose by 3.7% to €10,904 — an increase of almost €400 on 2005 figures.
AA spokesperson, Conor Faughan, said surging fuel prices over the past 12 months had eroded any gains obtained from falling insurance costs which dropped by an average of 13.5%.
However, the increase in motoring costs remains just below the general inflation rate of 3.9%. Mr Faughnan also blamed the “hidden cost” of rising interest rates for the general increase in prices faced by motorists.
Although the price of new cars has not increased significantly over the past year, he said other motoring bills such as the cost of servicing vehicles, spare parts and parking had risen during the same period.
“Fuel costs are the major problem and they are certainly beginning to bite,” said Mr Faughnan.
According to the AA survey, motorists who drive a 1.4 litre small family car doing an average of 16,000km per annum face an extra €15 in fuel costs each year for every one cent increase in petrol.
“Putting 50 litres into the tank now costs €58.60 as opposed to €50.95 this time last year,” observed Mr Faughnan.
The AA estimates that the driver of a 1.4 litre car faces fixed costs of almost €7,900 each year before taking a vehicle out on the road.
This figure includes the cost of insurance, driving licence, parking, NCT test, motor tax and depreciation.
The AA has calculated that motorists pay €3,761 on average each year in parking costs, while the value of cars over 1.2 litre can depreciate by a minimum of €2,000 per annum.
However, the running cost of cars has increased by over 9% due to rising petrol prices. Overall, the cost per kilometre of a small family car now stands at 68.15 cent compared to 65.723 cent last year — a 3.7% difference.
The AA has also predicted motorists will face growing queues and additional costs for petrol due to the growing number of petrol stations closing down.
The problem has become particularly acute in major cities, especially Dublin, where many forecourt owners are selling up their businesses as a result of lucrative offers from property developers.
The Irish Petrol Retailers Association said many of their members felt the pressure of low profit margins and had decided to capitalise on the value of their sites.
