Download - Petrol Head slidepack
Slide 1
Petrol Head IndexA measure of motoring related goods, services & expenditures taken from the ONS Consumer Price Index. The Petrol Head Index (PHI) includes the following 7 CPI indices which are weighted accordingly:
07.1 Purchase of vehicles
07.1.1 A New cars
07.1.1 B Second –hand cars
07.2 Operation of personal transport equipment
07.2.1 Spare parts & accessories
07.2.2 Fuels & lubricants (includes petrol & diesel)
07.2.3 Maintenance & Repairs
07.2.4 Other services Inflation (e.g. car wash, parking charges MoT fees etc)
12.5 Insurance
12.5.4 Transport insurance
The Petrol Head Index has recorded more extreme rates of inflation / deflation than the UK’s CPI Index
Consumer Price Index (CPI) has been flat since 2014 while the Petrol Head Index has been falling
Prices of spare parts & accessories & 2nd hand car prices fall in 2015. New car prices / repair & maintenance fees rise
Motor fuel in its 4th year of declines while ‘other services’ prices rise in each of the last 20yrs. Insurance +10% in 2016
Transport insurance & motor fuel (petrol & diesel costs) moving in different directions
The annual fuel costs of running a Nissan Qashqai have been fallen from almost £1,400 (diesel) to £1,000
Nissan Qashqai drivers are into their 4th year of falling fuel costs with a £369/379 cumulative gain so far
The more you drive the more you save!
Average weekly petrol prices have risen by over 6% since the start of the year
Average weekly diesel prices have accelerated by over 8% since their low in February
Rising petrol and diesel prices suggest further increases in the Petrol Head Index can be expected
Brent crude oil price (in £) up almost 1/3rd since the start of 2016…more petrol price rises in the pipeline
Interest rates for car loans remain close to record lows
Second hand car prices fell at their fastest rate in 7 years (-5.6%) in 2015 with new car prices up 2% y/y
UK new car price inflation eases from 1.1% y/y in March to 0.3% in April. 2nd hand car prices fall by 6.9% in April
Spare parts & accessories posted their first annual decline last year since 2001. Cost of servicing & repairs post rise
Productivity puzzle? Improved fuel consumption due to improved efficiency & downsizing in car / engine size
Slide 20
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