Fuel and transport costs push up UK inflation

UK inflation has taken some by surprise and risen for the first time in eight months, with the main driver being fuel and transport costs. CPI annual inflation – the Government’s target measure – rose to 1.5% in October, latest official figures from the Office for National Statistics show (17 November). This is up from 1.1% in September.

By far, the largest upward pressure affecting the change in the annual rate of inflation came from transport which was largely driven by the purchase of second-hand cars, stimulated by the Government’s car scrappage scheme.

The price of second-hand cars rose at their fastest ever rate between September and October this year, increasing by 1.1%. This in turn also impacted the annual rate of inflation for second hand cars in October, reaching a record high of 13.2%. A key driver of the upward movement in prices also came from increased transport costs, where petrol prices fell by 0.7% between September and October this year.

Inflation in other key areas of household expenditure remained steady, with electricity prices 8.2% lower than a year earlier in October, wand gas prices down 5.9% in the month of October, although there were further upward pressures from landline telephone charges.

The largest downward pressure affecting the change in inflation came from banking services, where prices fell by more than a year ago due to reductions in bank overdraft charges and mortgage arrangement fees.

Why do I need to know this?

Inflation is a measure of rising prices and it's useful to know how much the cost of goods is rising because some salaries and pensions are linked to inflation – so salaries might increase at the same time that food and other goods in the shops rise in price, essentially easing the burden on your pocket.

It's also good to have an idea about whether prices will be going up in the coming months so you can plan your finances and if inflation comes back to the target level of 2 per cent, then the Monetary Policy Committee (MPC) – who decide whether to increase, hold or decrease interest rates – may begin to start changing them.

What the economists say

Henderson economist, Simon Ward said: “The rise in consumer price inflation from an annual 1.1 per cent in September to 1.5 per cent in October marks the start of a trend that is likely to carry the headline rate above 3 per cent in January. Inflation should subside over the remainder of 2010, but is unlikely to fall below the 2 per cent target.

Nick Beecroft, senior FX consultant at Saxo Bank, added: “Given the fact the MPC’s November Inflation report expected inflation to decline during 2010 and 2011, but thereafter their projections have inflation on a steadily rising path through the 2 per cent target, the MPC hawks will be keen to see an end to these upside surprises, otherwise their fingers will start to twitch on the interest rate rise trigger.”

How to Haggle and Save Hundreds on a New Car

Buying a car can be one of the most expensive decisions we make, and yet far too many of us end up paying over the odds for a new set of wheels. In the current uncertain climate, it's more important than ever to get a good price on your reliable run-around - or sporty little number - and one of the easiest ways of doing this is by haggling.


Don't be afraid of negotiating a better deal

However, new findings show that of the 1.14 million (*) people planning to buy a brand new car between September 2009 and February 2010, 121,000 (*) do not plan to bargain down the price they pay. This is despite the fact that - depending on the car - you could get a discount of up to 50 per cent (**) on the list price.

In fact, figures suggest the average discount you should be aiming for on a brand new car is around £1,893 (***) which means that overall, British motorists could save themselves a huge £229 million (*) over the next six months.


Seize the opportunity to drive a hard bargain

Few of us enjoy haggling, but there's no time like the present to cast off your inhibitions and try your luck, as despite the Government's scrappage scheme - introduced in May offering “cash for bangers” - the car industry is still going through a difficult period. (See: Buy a new set of wheels as discount deadlines loom.)

With figures showing that the sales of new cars in September were down 20 per cent (****) on previous years, this really is the perfect time to put your bartering skills into practice.

“Now is a good time to negotiate a significant discount on the price of a new vehicle,” says Steven Baillie from Sainsbury's Finance. “With typical British reserve, many of us don't haggle hard - despite the big savings that can be made. We'd urge buyers to give it a go.”


Homework is the key to confidence

Haggling may be an art, but it doesn't have to be difficult - here's our top tips to steer you through the process:

• Do your research - knowing the discount you want to aim for will help you haggle more effectively, so make sure you're armed with as much information as possible.
• Set a budget - enter into negotiations with a fixed idea of the car you want and the amount you're happy to spend - and stick to it.
• Pick your person - identify the right person to negotiate with and be courteous; your chances will improve if they like you.
• Show no emotion - try and keep your excitement in check when you're haggling, as if you look too keen, the dealer may be less willing to negotiate on price.
• Ask for extras - if you can't persuade staff to give you a discount, try and get additional features thrown into the deal, such as a better car stereo.

Pick your moment

If you're planning to haggle, it's worth thinking about timing, as you can often pick up a good price on a new car just before the introduction of new registration plates, as cars left over from the previous registration become less attractive. Similarly, one of the best times to get a great deal on an old model is when manufacturers are introducing a new one.


Learn when to quit

One of the key elements of successful haggling is knowing when you have got a good deal and not pushing your luck. At the same time, if you're not able to strike a deal, it's equally important to know when to walk away - and to show that you mean business; after all, there are always other cars.

Top tips to drive down the cost:

As well as haggling, there are some other simple steps to make a tidy saving:

• Shop around for the best deal on a loan.
• Consider a 0 per cent finance deal from your car dealer - but note you may have to pay a hefty deposit
• Do the maths to work out if a leasing deal will be cheaper.
• Look at cars that have been pre-registered, as you essentially get a nearly brand-new car at a second-hand price.
• If you have an exact model in mind, check out an internet-based car broker.

Notes:

(*) Sainsbury's Finance
(**) Car broker Broadspeed.com
(***) What Car? Target Price 2009
(****) Society of Motor Manufacturers and Traders (SMMT), September 2009

Sourced from Confused.com Haggling Tips for buying new car

8 Great Car Security Tips

In the UK, car crime is a depressingly common occurrence – and partly responsible for the price we pay for car insurance. But there are plenty of security measures that can easily be taken to help prevent you from becoming a victim – and what’s more, some of these measures could also get you a reduction in the cost of car insurance.

1. Car Alarm

Car alarms aren’t just about waking the neighbours at three in the morning when a big lorry trundles past, they’re also about alerting you to the fact that some unscrupulous so-and-so could be meddling with your motor. Although they can’t physically stop a car (or valuables kept inside) from being stolen, a thief will likely think twice before tackling a set of wheels that he or she knows will get everyone’s attention if the alarm’s set off. The threat of a piercing sound and flashing lights is a powerful deterrent, and some alarms also come with a pager to alert you if they are activated. Most modern cars come pre-equipped with an alarm, but if you drive an older vehicle, getting an alarm professionally fitted will help secure your car and could result in cheaper car insurance.

2. Car Immobiliser

An immobiliser is an electronic device which prevents a car from being started by someone who doesn’t have the proper key. Although an immobiliser won't stop a car from being broken into, it may stop it from being stolen. And even if a thief can somehow start an immobilised car, the extra time this would take would very likely dissuade them from even attempting it.

Since 8 October 1998, all new UK cars have had immobilisers fitted as standard, but if you drive an older car, getting an immobiliser professionally fitted will help secure your car and could mean cheaper car insurance.

3. Car Tracking Systems

Car tracking systems require a transmitter to be hidden in your car. If stolen, the vehicle can then be tracked and recovered. There are two main types of tracker: GPS systems can find your car whilst it’s at street level, and VHF systems can find your car even if it’s hidden in an underground car park or storage container.

However, tracking systems can be quite expensive, often requiring a significant monthly subscription charge.

4. Steering Locks/Gearstick & Handbrake Locks

These tough metal locking devices prevent the steering wheel, gearstick or handbrake from being used when the car is not in use. They are relatively cheap to buy (prices start at around £20), but in general, the more you pay, the better the security.

Although not impenetrable to a seasoned car thief, the real value of these locks is as a visual deterrent. Their bright colour (sometimes with flashing lights) lets a thief know that this car will take longer to pinch, so they may as well move along and try their luck on an easier steal.

5. Secure Parking

If your home has a driveway, or better still a garage, then use it. Cars parked off-street are far less likely to be stolen than those parked on the road. When away from home, try and leave your car in a secure car park – one with a ticket barrier or attendant.

If you have to park on the street, do so in a busy, well-lit area, and if at all possible, beneath the gaze of a CCTV camera.

6. Hide Valuables

It’s not just car thieves you have to worry about, there are plenty of crooks out there who are simply after your valuables. Therefore, never leave expensive goodies out on display within your car - it’s just too tempting for the opportunistic thief.

Sat Navs, mobile phones, CDs, laptops, briefcases, jackets and sunglasses are all fair game – so make sure you hide them out of sight in the glove compartment or boot.

7. Don’t Forget to Lock Your Car

This may seem like a no-brainer, but plenty of cars get stolen as a result of forgetful owners. Even if you’re only leaving the car for a short while – at a petrol station, for instance – your vehicle, or any valuables left on the seat, are at a very real risk of theft. The same goes for windows and sunroofs – always close them when you leave the car, no matter how short a time you’re away (the exception, of course, is if you have a pet on board – in which case just leave a small gap). But worse than leaving a car unlocked is leaving a car unlocked and with the key still in the ignition – that’s just making a car thief’s job too easy. So try and get into the habit of checking the door handles every time you leave the car. One more thing – once you get home, don’t leave the car keys on a table near your front door. Thieves have been known to pop a coat hanger through the letterbox to hook the key ring.


8. Marking/Etching

Marking and Etching are ways of stamping your car with a unique identifier. Marking can be as basic as writing on various parts with an ‘invisible’ ultra-violet pen, or as sophisticated as covering the car with thousands of micro dots – each encoded with your identifiable details.

Etching involves ingraining your car’s serial number or registration number into the windows and light covers of your car. Of course, none of these methods will stop your car being stolen, but they can act as a deterrent and will certainly help make it more recoverable if stolen.

And finally...

...if you’re thinking of buying a car, you can get an idea of how safe and secure it is by checking out its Thatcham New Car Security Rating. And don’t forget to protect your car even further by covering it with comprehensive car insurance.

Motoring Conviction Codes

If you are unsure of any of the conviction codes for motoring offences within the UK, there follows an explanation of some of the most commonly misunderstood offences, and a complete list of conviction codes* below.

Accident offences
The following stay on a driving licence for four years from date of offence:

AC10 Failing to stop after an accident (5-10 points)
AC20 Failing to give particulars or to report an accident within 24 hours (5-10 points)
AC30 Undefined accident offences (4-9 points)

Disqualified driver
The following stay on a driving licence for four years from date of offence:

BA10 Driving while disqualified by order of court (6 points)
BA30 Attempting to drive while disqualified by order of court (6 points)
These stay on a driving licence for four years from date of offence

Careless driving
The following stay on a driving licence for four years from date of offence:

CD10 Driving without due care and attention (3-9 points)
CD20 Driving without reasonable consideration for other road users (3-9 points)
CD30 Driving without due care and attention or without reasonable consideration for other road users (3-9 points)

The following stay on a driving licence for eleven years from date of conviction:
CD40 Causing death through careless driving when unfit through drink (3-11 points)
CD50 Causing death by careless driving when unfit through drugs (3-11 points)
CD60 Causing death by careless driving with alcohol level above the limit (3-11 points)
CD70 Causing death by careless driving then failing to supply a specimen for analysis (3-11 points)

The following stay on a driving licence for four years from date of conviction:
CD80 Causing death by careless, or inconsiderate, driving (3-11 points)
CD90 Causing death by driving: unlicensed, disqualified or uninsured drivers (3-11 points)

Construction and use offences

The following stay on a driving licence for four years from date of offence:

CU10 Using a vehicle with defective brakes (3 points)
CU20 Causing or likely to cause danger by reason of use of unsuitable vehicle or using a vehicle with parts or accessories (excluding brakes, steering or tyres) in a dangerous condition (3 points)
CU30 Using a vehicle with defective tyre(s) (3 points)
CU40 Using a vehicle with defective steering (3 points)
CU50 Causing or likely to cause danger by reason of load or passengers (3 points)
CU80 Using a mobile phone while driving a motor vehicle (3 points)

Reckless/dangerous driving
The following stay on a driving licence for four years from date of conviction:

DD40 Dangerous driving (3-11 points)
DD60 Manslaughter or culpable homicide while driving a vehicle (3-11 points)
DD80 Causing death by dangerous driving (3-11 points)
DD90 Furious driving (3-9 points)

Drink or drugs
The following stay on a driving licence for eleven years from date of conviction:

DR10 Driving or attempting to drive with alcohol level above limit (3-11 points)
DR20 Driving or attempting to drive while unfit through drink (3-11 points)
DR30 Driving or attempting to drive then failing to supply a specimen for analysis (3-11 points)

The following stay on a driving licence for four years from date of offence:

DR40 In charge of a vehicle while alcohol level above limit (10 points)
DR50 In charge of a vehicle while unfit through drink (10 points)
DR60 Failure to provide a specimen for analysis in circumstances other than driving or attempting to drive (10 points)
DR70 Failing to provide specimen for breath test (4 points)

The following stay on a driving licence for eleven years from date of conviction:

DR80 Driving or attempting to drive when unfit through drugs (3-11 points)

The following stay on a driving licence for four years from date of offence:

DR90 In charge of a vehicle when unfit through drugs (10 points)

Insurance offences
The following stay on a driving licence for four years from date of offence:

IN10 Using a vehicle uninsured against third party risks (6-8 points)

Licence offences
The following stay on a driving licence for four years from date of offence:

LC20 Driving otherwise than in accordance with a licence (3-6 points)
LC30 Driving after making a false declaration about fitness when applying for a licence (3-6 points)
LC40 Driving a vehicle having failed to notify a disability (3-6 points)
LC50 Driving after a licence has been revoked or refused on medical grounds (3-6 points)

Miscellaneous offences
The following stay on a driving licence for four years from date of offence:

MS10 Leaving a vehicle in a dangerous position (3 points)
MS20 Unlawful pillion riding (3 points)
MS30 Play street offences (2 points)
MS50 Motor racing on the highway (3-11 points)
MS60 Offences not covered by other codes (points as appropriate)
MS70 Driving with uncorrected defective eyesight (3 points)
MS80 Refusing to submit to an eyesight test (3 points)
MS90 Failure to give information as to identity of driver etc (6 points)

Motorway offences
The following stay on a driving licence for four years from date of offence:

MW10 Contravention of special roads regulations (excluding speed limits) (3 points)

Pedestrian crossings
The following stay on a driving licence for four years from date of offence:

PC10 Undefined contravention of pedestrian crossing regulations (3 points)
PC20 Contravention of pedestrian crossing regulations with moving vehicle (3 points)
PC30 Contravention of pedestrian crossing regulations with stationary vehicle (3 points)

Speed limits
The following stay on a driving licence for four years from date of offence:

SP10 Exceeding goods vehicle speed limits (3-6 points)
SP20 Exceeding speed limit for type of vehicle (excluding goods or passenger vehicles) (3-6 points)
SP30 Exceeding statutory speed limit on a public road (3-6 points)
SP40 Exceeding passenger vehicle speed limit (3-6 points)
SP50 Exceeding speed limit on a motorway (3-6 points)

Traffic direction and signs
The following stay on a driving licence for four years from date of offence:

TS10 Failing to comply with traffic light signals (3 points)
TS20 Failing to comply with double white lines (3 points)
TS30 Failing to comply with 'Stop' sign (3 points)
TS40 Failing to comply with direction of a constable/warden (3 points)
TS50 Failing to comply with traffic sign (excluding 'stop' signs, traffic lights or double white lines) (3 points)
TS60 Failing to comply with a school crossing patrol sign (3 points)
TS70 Undefined failure to comply with a traffic direction sign (3 points)

Special code
The following stay on a driving licence for four years from date of offence:
 
TT99 To signify a disqualification under 'totting-up' procedure. If the total of penalty points reaches 12 or more within three years, the driver is liable to be disqualified

Theft or unauthorised taking
The following stay on a driving licence for four years from date of offence:

UT50 Aggravated taking of a vehicle (3-11 points)

Causing or permitting
With these offences, the code remains the same except for the last digit – which changes to a 4. So, for example, if someone drives a car uninsured then they are committing an IN10 offence. However, if somebody lends a friend their car knowing full well that the friend is not insured, then they can be convicted of an IN14.
Another example is if a driver is using a mobile phone (not hands-free) then the code for this offence is CU80. However, if a passenger in the car answers the phone and then passes it to the driver – knowing full well that the driver is operating the vehicle – then the passenger may be guilty of a CU84.

Aiding, abetting, counselling or procuring
With these offences, the code remains the same except for the last digit – which changes to a 2 (e.g. LC10 becomes LC12).

Inciting
With these offences, the code remains the same except for the last digit – which changes to a 6 (e.g. DD40 becomes DD46).

*Source: Directgov 2009

Arrtilce Sourced from Confused.com Motor Conviction Codes 

Car Industry Breakdown Map

Here's a great map of the car industry broken down by manufacturer to show which car companys produce which cars.

Top 10 UK Car Country Drives

UK top 10 best car road drives - forget speed cameras, roadworks and traffic jams: blow away the cobwebs with the best British country drives. Stuck in a rut of the daily commute? Leave the hustle and bustle behind and head for the British countryside. Even in these congested times, the UK has plenty to offer in terms of scenic drives and cracking roads; you just need to know where to find them. Here we show you the route to happiness with the top ten British country drives…

1. Hebrides
It may take a bit of effort to get there, but the Isle of Skye is an unspoiled haven within the Inner Hebrides.

Take the A87 from Portree - it skirts the coastline round the island and turns into the A855. There are numerous single-track roads for the really keen, while the harbour at Portree is perfect for a few snaps. There’ll be something for drivers and sightseers alike.

2. Northumberland
The North East has more than its fair share of rugged coastlines and spectacular scenery.

Start at Berwick-upon-Tweed (taking in the view of Lindisfarne) and head south to Alnwick. Pick up the B6431, which turns into the B6432, skirting Northumberland National Park. Stop for a brew at Farlam Hall in Brampton and marvel at the feat that is Hadrian’s Wall.

3. Lake District
The Lake District’s twisty country lanes are a driver’s delight - if you can avoid the peak of summer.

The B5289, just outside Cockermouth in Cumbria, loops around Derwentwater to picturesque Keswick. Stretch your legs with a walk through the Lake District National Park, then head south to Hardknott Pass - the steepest road in England. You’ll end up in the Victorian town of Ambleside for a well-deserved cuppa.

4. Peak District
Perfect for a family getaway, Britain’s first national park offers magnificent views of peaks and valleys in almost every direction.

To get the most out of them, you can’t do much better than the A57 from Glossop. Wind your way over the Moorland for miles, keeping an eye out for the Ladybower, Howden and Derwent Reservoirs. Finish up at Bakewell for, you’ve guessed it, the essential Bakewell Tart! If you’re taking little ones with you, take a look at Confused.com’s Guide to Keeping Kids Happy on Long Journeys.

5. Isle of Wight
This often-overlooked nugget of seaside delight is only half an hour from the mainland.

The Military road runs across the south coast of the island, following the sea cliffs as they look out over the English Channel. Rising and falling, they’re ideal for a slow cruise or an enthusiastic sprint. The road itself was part of the Palmerston Forts, built in the 1860s, in response to the perceived threat of French invasion.

6. Cotswolds
Burford, just 16miles west of Oxford, is one of England’s prettiest medieval towns.

The 1000 locals will welcome you as you partake in the delightful high street and quaint shops. From there, pick up the B4425. You’ll enjoy a fabulous fast and flowing open road for almost 15 miles before you reach Cirencester. Unwind and explore the weekday markets and renowned Corinium Museum.

7. Suffolk
Situated in the east of the UK, Suffolk offers some architectural delights, while the rural roads provide some challenging routes once you head off the beaten track.

Castle Hedingham

Follow the A12 south out of Ipswich, through the delightful Vale of Denham, before heading to Sudbury and picking up the B1058 towards Castle Hedingham. This, and the subsequent B1053 and B1057, loop around Saffron Walden – explore Audley End, one of the most ostentatious Jacobean houses in England.

8. North Wales
Find yourself in the right part of Wales and you can enjoy some of the best roads the UK has to offer.

Start at Bala and take the A42122 through the heart of Snowdonia. Head through Porthmadog and Pwllheli along the south coast of the Lleyn Peninsula, then back up along Caernarfon Bay. If you’re really keen, head north to Anglesey, and try out its race circuit, which looks out over the Irish sea.

9. Dorset
Take pleasure in the stunning views on offer in Dorset. Enjoy the traditional seaside town of Weymouth before following the coastal road up to the A352, visiting the iconic Lulworth Cove.

Gold Hill, Shaftsbury, Dorset

Head into Poole and explore its natural harbour, the second largest in the world, before looping back along the A35 through Tolpuddle to Dorchester - the home of Thomas Hardy and the Dorset County Museum.

10. Cornwall
A part of the UK not to be missed, head south along the coast from Bodmin to Lizard Point, and across to Land’s End. From there, drive north through the popular beaches of St Ives and Newquay.



For one final flourish, follow the A30 out of Bodmin again and head over the challenging moor roads, but be prepared for the Brown Willy effect: a localised weather phenomenon that brings heavy rain and flash flooding. Check out the amazing Cornwall Sunrise if you get the chance!

Country roads may take a bit of negotiating. Before you leave the hustle and bustle behind, make sure your car insurance is up to date and you’re covered for breakdown.

Best 4 x 4s for under £30k

Be seen in one of the best new 4x4 models on the market - these are what Confused.com consider the top five 4x4s for under £30k.

Best for looks – Volvo XC60

The Volvo XC60 has the distinct advantage of being fresh out of the box, but that doesn’t take anything away from this stylish 4x4.

Like a concept car that’s escaped its motorshow stand, the XC60 would look good in any manufacturer’s portfolio, never mind one with a conservative reputation such as Volvo.

Add to the fact it’s great to drive and there’s a choice of a low-emission front-wheel drive version, it also cuts fuel costs and could cut car insurance premiums. Prices start at around £25,000.

Best for practicality – Citroen C-Crosser

Many people choose 4x4s for their interior size and space, and the Citroen C-Crosser makes the best use of its cabin. Sharp on the outside, it measures up with the mid-sized competition, but thanks to a clean, uncluttered interior and some clever ideas there’s space to spare.


Under-floor storage and clever cubbies help, but the boot also has room for two fold-away seats, which means you can carry up to seven people.

Expect to pay a little over £20,000 for the cheapest models, as well as low car insurance and affordable running costs.

Best for off-roading – Jeep Wrangler

They say practice makes perfect, in which case Jeep have been plugging mud for longer than anyone else. If ultimate off-road ability is your thing, look no further. The simple chassis means big ground clearance and excellent axle articulation.

Being relatively compact also ensures it can squeeze through tricky gaps that others can’t. The downside - it’s not as refined - or as comfortable - as many of its rivals.

But if you’re knee-deep in mud, there’s not much else that will get you out again. Wranglers start at £18,000.

Best all-rounder – Land Rover Discovery 3

Land Rover also have a bit of history when it comes to the 4x4 game – and decades of experience in building nothing but off-roaders resulted in the superb Discovery 3. It has all the Land Rover touches you expect - clamshell bonnet, tough but stylish exterior and an air of class - it’s practical and good to drive too.

The fiendishly-clever Terrain Response system means it can cope with almost anything you throw at it, yet it’s smooth and refined on the road.

The cheapest model is just £190 over our budget, but you should be able to haggle below the magic £30k barrier.

Best for value – Chevrolet Captiva

Don’t think for one minute that 4x4s are the preserve of the rich. You can get the looks and practicality with the Chevrolet Captiva without emptying your bank account. This handsome beast, with optional large alloy wheels, has a decent specification and a choice of petrol or diesel engines.

Prices start at a relatively cheap £16,980, even less if you scrap your old car at the same time. The top version with all the bits and seven seats checks in at £24k.

Could the recession mean the end of style over substance for the motoring industry?

The above title may seem a little over the top, but a number of news stories have emerged in the UK press recently concerning how consumers are being deterred from buying flashier vehicles instead of those which are considered more practical, and are refraining from adding sporty extras to their existing cars. So are necessities such as car insurance and fuel economy taking the place of the look and style of the UK's vehicles?

According to an article at justgoodcars.com, industry research has found that 36 percent of motorists surveyed said that their limited budgets are the most important factor when considering the purchase of a new car. Additionally, the reliability of the vehicle was also said to be influential in the decision, with one in five buying because of their trust in the manufacturer as opposed to the style or look of the vehicle itself.

Additionally, drivers who have bought cars with the intention of modifying or ‘souping' them up in the last year have been forced to think twice as research published at myfinances.co.uk highlights the added expense to insurance costs. For example, the added cost of a new spoiler on a 2000 Ford Focus for a 17 year old will be a massive £688.84 a year, whilst something as innocuous as decals and stickers could push the yearly extra cost up by another £6225.22!

According to Gerry Bucke of Adrian Flux Insurance there is an intriguing irony with the latter. He stated: "Young drivers of modified cars are on average 20 per cent less likely to have an accident and make a claim than young drivers in cars with a standard specification. The truth is, guys who modify their cars tend to be involved in fewer accidents. They invest heavily in their cars and take more care of them."

So what does this say for the motoring industry? Are we likely to see an end, or at least a pause, of people spending money on car style? The reports in the press would certainly suggest so, but whilst we might be gradually letting superficial aspects of our vehicles slide, with credit crunch cut-backs we will no doubt see individuals opting for cheaper cars rather than greener ones also. If manufacturers really want to sell new cars they will need to be able to offer cheap simplicity in order to match those that can be bought second hand.

Top 4 Things to Remember when Buying a Second-Hand Car

Despite Labour's recently announced ‘Scrappage Scheme', in which car owners can get a discount on a brand new vehicle due to contributions from the seller and the government itself, many UK motorists are still eager to purchase a second-hand vehicle. However, the process of buying and owning a second-hand car is renowned for its pitfalls and difficulties, so how can you be sure paying less now will be worth it in the long run. Here are my top 4 things to remember when buying a second hand vehicle.

4. Web Research
Researching online does not stop at searching for the perfect wheels, however this is becoming even more efficient as we are now able to browse by manufacturer, cost, size - as well as information that details how much value your vehicle is likely to lose over time. Additionally, it is now easier than ever before to compare prospective car insurance prices via comparison websites, before you hand over your cash.

3. AA check
After you have found a vehicle you like, there are extra tools online that can help you confirm whether the car has had a shady past or not. The car data checks at theaa.com will provide you with a background history of a vehicle: including whether any finance agreements have been recorded, whether the car has been written off, registration details and past owners, vehicle identification number and a mileage check. They charge £20 for a single vehicle and £25 for up to five.

2. Consider running costs
Aside from the cost of the vehicle and its insurance, be sure to consider running costs such as tax and petrol consumption. In the wake of the credit crunch, finance assistance such as personal loans and ‘higher purchase deals' via the dealership may well be harder to acquire as lenders are now more stringent when it comes to credit checks etc. Work out a budget that relates to all the aforementioned costs of your new vehicle.

1. Take someone along with you
Additionally, one way you can be sure that you are getting the best price is to be confident when it comes to negotiating a price with the seller. If you don't relish the challenge of haggling, take someone along with you who does. Having a friend with you is also good for a second opinion and better still if they have some expertise when it comes to second-hand cars too.

Cars may no longer be status symbols, but they may still be the key to the heart of some women

As petrol prices increase past the £1 mark, and drivers consider cheaper vehicles and cutting back on car insurance, it might seem like the days when the majority of UK motorists cared about the look and model of their vehicles are behind us. However, research from used car specialists, motors.co.uk, suggests that men should not be so quick to put car style to the back of their minds – at least, not if they are hoping to be at all popular with the opposite sex.

A survey conducted in May revealed that, in comparison to men, three times more women are concerned about what type of car their prospective partner owns. Additionally, when asked, a third of women admitted that they were likely to turn down a man if the car they drove did not live up to their expectations in terms of style and status.

The research also showed some interesting findings regarding how much people really care when it comes to the opinions of loved ones about their vehicles. One in fifty claimed they love their car more than their partner.

Although the findings of this particular survey might seem humorous, it follows similar research conducted earlier in the year by a car insurance specialist that suggested the credit crunch had killed the notion of the car as a status symbol. In a survey of UK motorists, 36 percent of those asked claimed that having limited budgets affected what car they would buy. Additionally, reliability was said to be a much more important factor compared to style or look, with one in five drivers buying certain vehicles because they trust the manufacturer.

Such research is risky, primarily because it tends to lead anyone who analyses it down routes of gender generalisation. However, it does seem to suggest some intriguing things about the automotive market currently. Whilst more drivers are seemingly less eager to focus on the superficial aspects of a new car, those who are impressed by a type or style of vehicle seem more likely to make car-based assumptions because it is now more likely that a nicer car will belong to an owner with considerable financial security.

Scrappage scheme: what does it mean for your car insurance?

On the 22nd April, as part of the 2009 budget, Cllr Alistair Darling announced the launch of a nationwide ‘scrappage scheme’ in order to stimulate the floundering UK motor industry. Such incentives are not new internationally, however they do vary from country to country and we are yet to see how UK motorists respond in comparison to the enthusiastic Germans etc.

So far, most of the reports concerning the scheme focus on the financial benefits to the industry and ecological benefits to the environment. However, it seems to me that as a nation, the biggest concern when considering the purchase of a new vehicle is car insurance. So how does insurance fit into the ‘scrappage’ scheme of things?

If you currently own a car that is over 10 years old, and if it has been in your ownership for a minimum of 12 months, the incentive is there for you to trade in your vehicle for something cleaner and more efficient. If you do so within this tax year you will receive £1,000 from the government and another £1,000 from the motor industry to help with the purchase of your new car. 38 car dealers, producers, and franchisees have signed up to the deal, according to politics.co.uk.

Although it is early days in regards to car insurance prices, it seemed that the incentive could only be a good thing. In the insurer’s eyes, brand new vehicles are often seen to push down premiums because they are safer and more secure then those which are 10 years older. However, there is always the possibility that the scheme may well persuade customers to buy a car with a bigger engine than they perhaps would have done. Additionally, certain newer models will no doubt be more enticing for criminals then their older versions.

Subsequent reports from some companies in the industry, for example Parker’s Car Buying Guide, show that many are already dissatisfied with the scheme. Their survey of 600 motorists found that 70 percent felt that it was not generous enough in order to tempt them into trading in their current vehicle, especially after taking into account new finance costs such as tax and insurance. AT rac.co.uk, Kieren Puffet of Parker’s also specified that for bigger cars, at least, there are other ways to get bigger savings. It seems that where estates are concerned, differences between insurance quotes for vehicles from the last few years will not be worth the £2,000 when they are far cheaper second hand.

Trying to Cut Costs? Post Office® warns that skimping on insurance might not be the best option

The recession is causing many of us to re-assess our outgoings. It might seem tempting to some, but Post Office® has issued fresh warnings today that cutting back on home and car insurance is not the best way to save on the pennies. Alongside fresh statistics that around 3,000 people die on UK roads as a result of car accidents, many are still looking to cut back on what should be a necessity – even though they are aware that having no car insurance is illegal.

Post Office® research is also showing an increase in customers who are switching from their existing “Comprehensive” policy to cheaper options such as “Third Party, Fire and Theft” and just “Third Party”. There has also been an increase in visitors to comparison websites and trends for other incentives in the industry such as cash-back which has been criticised for the confusion it can cause to some consumers.

Consequently, to ensure customers get the best cheap car insurance quote, the Post Office® has launched the simple and successful Quotefinder tool. Just type in your current premium price and challenge the Quotefinder to get you a better quote from its comprehensive database of top insurers, in seconds.

Despite reports elsewhere that premiums are on the rise, Post Office® is adamant that we are living in a buyers’ market currently in the UK. This is also particularly relevant to the home insurance industry where, again, many of us are eager to cut back on payments. Although the risks and legal issues may not be as serious when it comes to insuring your house, homeowners are being reminded that we are seeing an increase in burglaries and thefts. Most notably, cases of opportunist stealing from gardens and outbuildings such as sheds are expected to increase by more than 63 percent in comparison to two years ago.

And finally: consider your contents.

The Manbag is set to make an even bigger splash than it did last year, with celebrities such as David Beckham and Kanye West pioneering the look – and making the trendy holdalls even more desirable. Post Office® are warning that designer labels may necessitate specialist insurance, whilst their contents – which on average can amount to as much as £418 – might not definitely be covered by your existing home insurance.

Emma Baunach, of Post Office® Home Insurance said: 'It's important that men consider this a serious risk and take steps to protect their possessions by taking out personal possessions cover as part of their contents insurance.'

Funny Car Stickers

A collection of 10 funny car bumper stickers that are most likely to induce a chortled “wtf?”

1. The Municipal Worker’s Creed

Who thinks it’s funny: Anyone residing in a state with a major roadway that’s been under construction since approximately the Regan Administration.

2. Mothers Against Drunk Fondling

Who thinks it’s funny: Anyone who ever listened to The Loaf’s Paradise By The Dashboard Light/Parents routinely overheard describing cherubic toddler as their “Happy little surprise.”

3. Truth In Stereotypes

Who thinks it’s funny: Men in general/women who can be routinely found performing small engine repairs while their male counterparts relax, sipping their frappuccino gingerly while thumbing through the new L.L. Bean catalog.

4. The Good Ol’ Days

Who doesn’t think it’s funny: Jimmy “Designer Board” Jitbag and his roving band of spoiled socialites.

5. Kill The [Bike] Messenger

Who thinks it’s funny: People who live in large metropolitan areas densely populated with “hipster” bike messengers and their loathsome elitist “underground” culture. Car Insurance companies may not find this as funny however!

6. College Rivalry

Who think it’s funny: Michigan State University alums/anyone who doesn’t know jackshit about college sports, but finds the obscurity of the question humorously appealing.

7. Life, Liberty, and the Pursuit of Homemade Beer

Who think it’s funny: Hardcore fans of the Miami Herald’s Pulitzer Prize winning humor columnist Dave Barry, who daily mourn his retirement.

8. Rules of the Road

Who thinks its funny: Veteran road warriors/anyone whose ever shaken their head and muttered “Idiot” while watching a newly-licensed 16 year-old barrel balls-to-the-wall down the right hand lane.

9. Smith Family Update

Who think it’s funny: Regular recipients of those smarmy “family brag sheets” often sent at Christmas time that describe in excruciating detail the epic achievements of a family who probably spends Saturday evenings listening to Lake Woebegone together.

10. 01011011

Who think it’s funny: Your office tech support guy/Windows Vista users/The kid you ridiculed mercilessly in high school who is now worth more than the gross national product of many small countries.

Satnavs and Car Insurance

The Trouble with Satnavs: Could your in-car navigation system be more likely to cause you a car insurance claim than a stress-free journey?

Since the release of satellite navigation systems a few years back, they have frequently been surrounded by stories of innocent (or stupid, depending on which way you look at it) folks cruising up one-way streets or meeting peril face to face at two o’clock in the morning. Strangely, 2009 seems to have seen another sudden increase in reports of satnav problems, leading to motoring.co.uk to publish a survey of British motorists and any issues they may have had with the devices.

So, do satnavs really increase the need for a car insurance claim? One of the most famous recent instances of over-zealous satnav trust occurred with the case of Robert Jones (as reported in The Telegraph last month). Whilst driving on the West Yorkshire Moors, his satellite navigation system instructed him to take what looked like a shortcut, but actually led him towards a cliff edge. Luckily, he managed to escape the near-doomed vehicle as it teetered at the top of the drop in Tolmorden – and if he didn’t need to make a claim on his car insurance he was extremely lucky. His life insurance policy was also close to paying out!

Here are some of the photos from the accident:



Surprisingly, it is not only inexperienced drivers who fall foul to having too much faith in these innocuous devices. Lorry drivers and cab drivers seem to more frequently be finding themselves in similar situations. One such truck driver, Steven Ablett, met a slightly more humorous problem when he persisted to enter an extremely narrow lane, despite the warning signs the led up to it. After realizing that he was stuck in between the high walls either side, he then found it impossible to reverse due to the poor weather conditions and had to sleep in the cab until the following day – subsequently missing his son’s 18th birthday celebrations.

The survey carried out by motoring.co.uk led to some interesting statistics. More than half the people asked (56 percent) admitted that something had gone wrong with their satnav, yet those who lived in the North East of England were less likely to have an issue – which I suppose may be something to do with those driving in the area being more used to unpredictable roads.

Similarly, of men and women asked, 30 percent of men admitted to being led to completely the wrong destination, such as a field. Whilst women, despite stereotypically being worse with gadgets, were more likely to follow their instincts against the will of the satnav – and only 20 percent admitted any problems.

The survey also showed that the majority of satnav owners had shouted at their machine, and even had prolonged conversations with it!