Heads up on new car price increases

I'm beginning an annual update of carbuyersinfo's car comparisons. It's noticeable how car prices have increased.

For example the Hyundai i30 price list now starts at £12,900. It was £11,100 in the summer of 2008. The VW Tiguan price list starts at £19,765. It was £18,600 in the autumn of 2008. It's the same with other makes.

Recent car price rises are significant. Granted VAT has increased. I've experienced many car trends over the past four decades. As I remember, in times when the UK economy went into recession, car prices increased and indicated inflation that followed.

Inflation reduces the spending power of savings. On the bright side if you take out a car loan, in later years you're repaying with devalued money.

However, with SUVs now starting near 20k and family hatches costing 5-figures they're less affordable unless we get wage inflation - hardly.

Regards
Ralph