ford increase price on new cars

[graham John]

Ford and Vauxhall raise UK prices


Ford and Vauxhall have both been hit by the weakness of the pound


Ford and Vauxhall have both said their UK car prices are going up, despite falling sales and news of government measures to support the sector.
They both blame the weakness of the pound - much of their manufacturing is carried out in the eurozone, so sales in pounds are worth less to them.
Ford is putting up the prices across its range by an average of 4.7%.
Vauxhall is increasing the prices of all models except the Vectra and VXR8 by an average of just under 5%.
"We have to increase our prices," said Vauxhall spokesman Simon Hucknall.
"It is essential - it is not desirable, but it is essential."
Car sales in the UK fell 21.2% in December, compared with the same month the previous year.
The package of government measures to support the car industry include guarantees to unlock loans of up to £1.3bn from the European Investment Bank, as well as a further £1bn in UK government loans, to fund investment in greener vehicles. Buyers' market The list prices given by car manufacturers comprise the wholesale prices they charge to the dealers plus an assumed margin for the dealer.



cheeRS

[plentysideways]

Now I freely admit to not being an expert on exchange rates/international car manufacturing etc, but can anyone explain how Ford/GM expect to sell more cars (which I guess they need to do to increase profit) by putting prices up in an economy which is not exactly awash with a) money or b) people willing to lend other people money?

[oxb1l]

the same way banks need government hand outs then get big bonuses

if i fuc/ed up at work i would just get sacked ...end of


Bill

[TimGR]

Now I freely admit to not being an expert on exchange rates/international car manufacturing etc, but can anyone explain how Ford/GM expect to sell more cars (which I guess they need to do to increase profit) by putting prices up in an economy which is not exactly awash with a) money or b) people willing to lend other people money?

It was coming.

Unfortunately it's a double wammy for the UK car manufacturers - lack of customers, but anything sourced outside the UK is going to cost more due to the crap pound (you can thank Brown/Darling for that). So the manufacturers really have little choice and the end result makes matters even worse for them.

If you compare UK price with Europe, the UK is very cheap (for now) - I was looking to buy a new motorbike which on the continent would cost around E 6,500 but in the UK has been advertised at £3,700 on the road (E 4,100)!

[grum]

see alot of cars companies have started scrapping the vat on the models in a bid to attract peeps in

[TimGR]

see alot of cars companies have started scrapping the vat on the models in a bid to attract peeps in

Yep, although they're not actually scrapping the VAT - they still have to pay the VAT to the government - they're effectively knocking 15% off the price.

[grum]

Yep, although they're not actually scrapping the VAT - they still have to pay the VAT to the government - they're effectively knocking 15% off the price.

you know what i mean - stop picking on me

[68 Bullit]

Yeah , not a lot of sense in that move, right now they should be motivated to sell so they can move current stocks, but when the government is giving you millions in bail out money then I guess there is no incentive to become competitive , just carry on with the same old business practices, maybe even buy a new 50 million dollar executive jet with the bail out money