List prices of compact MPVs [small minivans] sold in the UK rose at a faster rate than those of any other new car sector during July, up 3.1% year-on-year compared to a market average rise of 1.7%, according to EurotaxGlass’s monthly new car market trends report.
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A number of the compact MPV sector’s best selling vehicles have had list price increases over recent months. Many models in the Ford Focus C-MAX and Renault Scénic ranges increased £200, and in the recently redesigned Vauxhall [Opel] Zafira range some prices were up £400. The list price of the average compact MPV was affected by the launch of the new Mazda 5, which has a higher starting price than the outgoing Premacy.
EurotaxGlass’s noted that, while prices of new compact MPVs are climbing, their residual values appear to be heading in the opposite direction, albeit slowly. During the second quarter of the year the residual values of the average three-year-old compact MPV fell 4.8%, or £275, compared to 4.1% for the used car market as a whole. The higher rate of depreciation largely reflects the greater number now available used across the UK.
“Further list prices look likely across many vehicle [segments], largely as a result of continued increases in energy and steel costs,” said EurotaxGlass’s spokesman Alan Cole.
“Significantly, we are now seeing the leading steel providers abandon their traditional three-year contracts with car makers in favour of shorter-term agreements. This will make it much harder for the manufacturers to accurately predict future production costs and, despite weak consumer demand, they may have to respond by introducing higher prices.”
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By GlobalData
