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CAP HPI News UpdateBack

CAPHPINew Car Offers on City Cars Set to Boost Sector Says cap

Latest figures show high depreciation and maintenance costs push up the ‘total cost of ownership’ on the UK’s favourite used city hatchbacks

For those motorists who simply want to nip around town without the need to carry multiple passengers, city cars are often seen as a cost-effective alternative to their bigger, fuel-hungry counterparts, however, cap reveals that the city car sector was one of the main used car sectors under pressure through 2015.

This resulted in a higher overall depreciation than vehicle sectors and the market average, meaning car buyers need to consider the total cost of ownership of their dream compact car, including maintenance, fuel, and insurance.

The latest cap data reveals that the total cost of ownership varies significantly between city runabouts. The Suzuki Celerio offers the best value, with monthly running costs starting from just £192, as well as an initial price tag of £6,944.

According to the cap data, the three city cars with the highest annual service and maintenance costs are the Peugeot 108, starting from £797, the Citroen C1 starting from £771 and the Vauxhall Viva starting from £725.  However, despite the high service and maintenance costs, all three appear among the best overall buys, when looking at total cost of ownership.

In contrast, the Smart ForFour Night Sky Hatchback, has the highest, total service and maintenance costs at £1,251, contrasting with the Toyota Aygo, which costs just £441 in servicing, offering great value in the top three.

Philip Nothard, cap consumer and retail editor, comments, “The good news is that there are very attractive new car offers, with low rate PCP headline figures. For instance, the Suzuki Celerio is just £79 per month over 42-months and the Hyundai i10 offers a 24-month PCP at payments as low as £89 per month. Due to this sector being the lower-cost vehicles, they have been subject to the increased registration through pre-registrations, as they continue to be a popular option for motorists.”

Top Five Best Total Cost of Ownership Models

 Manufacturer Model Total

Cost of



Monthly Running costs Annual

Maintenance Costs



starting from
Suzuki CELERIO HATCHBACK £6914 £192 £707
Peugeot 108 HATCHBACK £7100 £197 £797
Toyota AYGO HATCHBACK £7244 £201 £441
Vauxhall VIVA HATCHBACK £7466 £207 £725
Citroen C1 HATCHBACK £7,524 £209 £771

Bottom Five Total Cost of Ownership Models

 Manufacturer Model Total

Cost of



Monthly Running costs Annual

Maintenance Costs



starting from
Abarth 595 HATCHBACK £15015 £417 £736
Vauxhall ADAM HATCHBACK £14522 £403 £685
Fiat PANDA HATCHBACK £14252 £395 £559
Fiat PANDA DIESEL HATCHBACK £14140 £392 £549
Smart FORFOUR NIGHT SKY HATCHBACK £12,483 £346 £1,251



The used car market stabilised in January as used values dropped by an average of just 0.5%.

January saw consumers out searching for and buying used cars in large enough numbers for high supply volumes not to be much of an issue.

Retail activity for used cars was on the positive side in January. In cap’s monthly survey, 69% of dealers surveyed saw physical footfall in January increase compared to the previous month.

Derren Martin, senior editor at cap Black Book said: “In 2015, the average movement through February in Black Book Live was minimal. Whilst volumes in the marketplace are higher this year, it is still likely that there will be a period of overall stability with regards to prices.

“Newer used cars will be likely to be under more pressure in the coming months – it will be interesting to see how this impacts on older vehicles too, as a reasonable gap needs to be maintained to make them an attractive purchase opportunity.”

Cap says dealers are reporting high levels of nearly new vehicles, and this situation is likely to be exacerbated by December activity in pre-registrations and rental.

Convertible values are expected to increase in the coming months, however the weather is a decisive factor.

Martin continued: “We are in a period of relative stability for the used car market. This is likely to last until an early Easter hits us – a period that often forms a watershed for used car values. Any supply and demand misalignment, and subsequent price changes in the market, are available on Black Book Live.”




Posted by Sue Robinson on 29/01/2016