GolfGTIforum.co.uk
Model specific boards => Golf mk8 => Topic started by: evo1986 on 07 August 2024, 14:25
-
Prices for Volkswagen Golf family to increase from September
On-the-road prices (OTRs) for Volkswagen Golf models will increase by an average of 1.4 per cent on Sunday 1 September 2024. The breakdown by model is shown in this table:
Model Average OTR increase
Golf £397
Golf Estate £431
Paint and option prices
The price of options will not increase.
-
About £500 for a GTI then? Maths never was my strong point.
And tomorrow the Clubby and R will be released, then in a few weeks time they’ll get hit by an increase 🙄 (which means grab a build slot quick if decent discounts are offered and you’re a cash buyer)
For the GTI it’s more relevant as it’ll tip it toward that £40k even more (stating the obvious)
Thanks for posting Lee
-
In the past, if I remember rightly, where a model was released so close to a price rise, as per the CS and R in this case, those models were not subject to the rise but the rest in the range were?
Can you remember that ever being the case Lee (and thanks for posting) and how many days in advance do you get the revised price list? Thanks.
-
Typically it would state on the bullet in if any things was excluded by the increase therefor I would expect the just about to be announced Clubsport and R will be hit by it as well.
-
Are prices generally locked in to what you ordered at? I know a few years back when there were 18-24 month waits the price raises were passed on. If I ordered in July, would it be normal for the dealer to honour that price for a September / October delivery?
-
Yes VW offer price protection so what ever you agree with your dealer or broker at point of order will be honoured when the car arrives.
-
Typically it would state on the bullet in if any things was excluded by the increase therefor I would expect the just about to be announced Clubsport and R will be hit by it as well.
Okay, thanks.
-
Yes VW offer price protection so what ever you agree with your dealer or broker at point of order will be honoured when the car arrives.
Great, thanks. Glad I got rid of the upgraded alloys to keep it under £40k. Protection from VW but not the government!
-
Just remember if trying to keep under 40K the price you pay may be under the threshold but the price is based on the RRP at registration not what you pay.
-
Just remember if trying to keep under 40K the price you pay may be under the threshold but the price is based on the RRP at registration not what you pay.
Also remember that you can subtract a few things from the OTR price that VW quote to get to the 'list price' / RRP relevant for the 'luxury car' road tax threshold. I am pretty sure that you can subtract the new car registration fee (only £60ish I think) and the first year road tax (around £600 on a basic GTI?). I am less sure about the delivery charge (I can't find anything conclusive online), which would be significant as it can easily be £700 inc VAT.
-
First registration at £55 and 1st year VED at £680 for standard GTI are not part of the ‘list’ price. Delivery at £820? is. I’ve got a leeway of £1400 at current prices before hitting the luxury threshold, so hopefully ok! Sure a bog standard GTI will be over in a years time
-
Just remember if trying to keep under 40K the price you pay may be under the threshold but the price is based on the RRP at registration not what you pay.
Also remember that you can subtract a few things from the OTR price that VW quote to get to the 'list price' / RRP relevant for the 'luxury car' road tax threshold. I am pretty sure that you can subtract the new car registration fee (only £60ish I think) and the first year road tax (around £600 on a basic GTI?). I am less sure about the delivery charge (I can't find anything conclusive online), which would be significant as it can easily be £700 inc VAT.
I might be wrong but I think it’s the first year’s VED plus the new car registration fee that can be deducted but not the delivery charge.
I can remember these deductions from list price being discussed on the forum in the past for the purpose of determining whether or not the enhanced VED rate applies, so it would be worth using the forum advanced search facility - search on ‘Registration’ and restrict the search to the mk7 and mk8 forum boards and hopefully it’ll give you the answer / confirmation of the above.
-
I thought that the P11D price that you can click to view on the configurator gives you the value used for tax purposes.
-
But is P11D not simply for HMRC calculation of taxable benefit on your salary?
Is that a different calculation to the “luxury car tax” figure.
I have no idea, but was just musing that they might not be the same thing as they are used in different contexts and by different government departments.
-
But is P11D not simply for HMRC calculation of taxable benefit on your salary?
Is that a different calculation to the “luxury car tax” figure.
I have no idea, but was just musing that they might not be the same thing as they are used in different contexts and by different government departments.
Not sure, but P11D is the list price with delivery charge at point of delivery and does not include registration fee or first years road tax.
Looking at the Gov site it’s says that the additional tax is the list price before it is registered for the first time. To me they sound the same, but happy to admit I’m wrong if somebody more knowledgeable replies.
-
No definition of list price on dvla Web site but my take is that any cost where vat is added is a part of the list price. This is in line with other suggestions that first registration and ved are not part of the list price.
-
Found a DVLA document, but it was on a JLR site so don't want to link directly to it, but if you do a Google search for "DVLA OOJ/16/046/1" you will come across it and it gives definitions of the list price.
To even further confuse it states that servicing and warranty are excluded from the list price when calculating the 40k threshold. So if you had added in the 2 service option (£299 or something like that), although just checking the New Golf and it doesn't give that option anymore in the configurators or I missed it, then that needs to be deducted as well.
So in summary as we have all surmised the list price is minus registration and first years road tax, and now minus servicing and warranty addons.
So on GTI with standard paint & no options, currently priced at £38,900, P11D £38,165, you have £1,835 to play with, or to allow for price increases, etc.
-
Just remember if trying to keep under 40K the price you pay may be under the threshold but the price is based on the RRP at registration not what you pay.
In the case of VW at least, what you say is incorrect. Two dealers have told me that VW will honer and guarantee the price at which you place your order, price increases between ordering and registration will not apply as long as a deposit of some kind has been payed.
-
Just remember if trying to keep under 40K the price you pay may be under the threshold but the price is based on the RRP at registration not what you pay.
In the case of VW at least, what you say is incorrect. Two dealers have told me that VW will honer and guarantee the price at which you place your order, price increases between ordering and registration will not apply as long as a deposit of some kind has been payed.
Well in my experience I can assure you that I've been paying the Luxury vehicle tax on my car and I paid a few grand below the threshold but the list was over 40K, they may well honour the price but I don't believe it's in the hands of VW to decide who enforces the tax due on the vehicle. Go ahead and believe the dealers if you like but my real life experience is very different from that.
-
Just remember if trying to keep under 40K the price you pay may be under the threshold but the price is based on the RRP at registration not what you pay.
In the case of VW at least, what you say is incorrect. Two dealers have told me that VW will honer and guarantee the price at which you place your order, price increases between ordering and registration will not apply as long as a deposit of some kind has been payed.
Well in my experience I can assure you that I've been paying the Luxury vehicle tax on my car and I paid a few grand below the threshold but the list was over 40K, they may well honour the price but I don't believe it's in the hands of VW to decide who enforces the tax due on the vehicle. Go ahead and believe the dealers if you like but my real life experience is very different from that.
Ah yes, sorry, I now get what you’re saying, any price guarantee they offer would then be treated as a discount, and if the RRP increases over the tax threshold, the car, although still at the order price, would be subject to extra tax.
-
About time they upped this LUXURY car tax threshold to 60k!!
So many cars falling into it now madness.
-
About time they upped this LUXURY car tax threshold to 60k!!
So many cars falling into it now madness.
Highly unlikely IMHO; it’s an easy revenue generator for HM Government, and as we’re told there’s a £20bn hole to fill, I think the £40k threshold is here to stay.
Reference to it being a luxury tax was removed from the VED rates section on www.gov.uk website long ago - maybe that was an acknowledgement by HM Gov that it’s not a luxury tax. It’s a stealth tax, and with the £40k threshold remaining unchanged and car manufacturers typically increasing prices 2 - 3 times a year, more and more people get dragged into paying it.
-
You definitely aren't paying less tax on anything any time soon...
-
I’ve only ever bought for cash, other than to get the PCP contribution and promptly cancel.
But……we are all well informed buyers and owners, like maybe 5% of the car buying public.
Most are seduced by the buying experience, encouraged by the sales person’s first and only question “what is your monthly budget?”
This whole approach by the motor trade is essentially selling a financial product but how many customers are/will be entering VED costs which are not being disclosed or considered?
How about raising the 40K limit to 50K and at the same time including electric vehicles???? That would fill the hole pretty quickly with all these big, heavy, road ruining, v expensive electrics.
Grrrrrrrrr
-
Luxury car tax comes in on electric vehicles from next year and also applies to ones already on the road (eg 3 years old)
Apparently about 70% of electric cars on the road will be helping fill the treasury coffers very soon
-
That should come as an unpleasant shock then!
Thank you for giving me a better start to the week Fred.
-
That should come as an unpleasant shock then!
Thank you for giving me a better start to the week Fred.
IMHO EV’s should never have been exempt from paying the higher rate of VED on £40k+ cars. It isn’t an emissions-based tax, it’s a tax based on vehicle list price, so if owners of ICE cars with a list price of £40k or more have to pay it, then so should owners of BEV’s with a £40k+ list price.
It was probably part of HM Gov’s plan all along to pull the plug on EV’s being exempt from the £40k+ VED. Not having to pay it initially was an incentive to encourage people to switch from ICE’s to BEV’s - same as the Government plug in grant for electric cars which I think was reduced over time and then stopped altogether a few years ago (I think grants are still available on electric vans though to encourage businesses to make the switch to EV).
-
That should come as an unpleasant shock then!
Thank you for giving me a better start to the week Fred.
But you won't be paying the extra fuel duty expected in the October budget so not all bad.
-
That should come as an unpleasant shock then!
Thank you for giving me a better start to the week Fred.
IMHO EV’s should never have been exempt from paying the higher rate of VED on £40k+ cars. It isn’t an emissions-based tax, it’s a tax based on vehicle list price, so if owners of ICE cars with a list price of £40k or more have to pay it, then so should owners of BEV’s with a £40k+ list price.
It was probably part of HM Gov’s plan all along to pull the plug on EV’s being exempt from the £40k+ VED. Not having to pay it initially was an incentive to encourage people to switch from ICE’s to BEV’s - same as the Government plug in grant for electric cars which I think was reduced over time and then stopped altogether a few years ago (I think grants are still available on electric vans though to encourage businesses to make the switch to EV).
It was a grant (the VED break)... and like all grants its to encourage uptake of whatever.... and now its coming to an end. It was to supposedly give a break to the initial high price of electric vs ICE because apparently once BEV gets up and running the prices of vehicles will fall :laugh: :laugh: :laugh: :laugh: :laugh:
The exit strategy from a grant scheme is always painful and causes a cliff edge in the market place.
I'm just quit surprised there wasn't a grandfather clause (ie its for NEW registrations going forward not applied to existing vehicles under 5 years old)
Before anyone says it, the last government was responsible for this...
-
I'm sure others might have seen this - always an interesting take on the EV/alternative fuels debate but this one shows that the UK could potentially be standing on it's own in around 5 years time.
https://www.youtube.com/watch?v=DwUDR8WTTKQ
-
I'm sure others might have seen this - always an interesting take on the EV/alternative fuels debate but this one shows that the UK could potentially be standing on it's own in around 5 years time.
https://www.youtube.com/watch?v=DwUDR8WTTKQ
Thanks for posting. Interesting video IMHO. I agree, we may well be standing on our own……we can probably thank the policymakers for that. I wonder what the consultation process was with the relevant motor industry bodies and vehicle manufacturers when the content of the ZEV Mandate was decided upon? (there probably wasn’t a consultation process).
With the significant financial penalties to be imposed under the ZEV Mandate in the UK on car manufacturers whose proportion of EV sales don’t hit the year on year percentage targets of their total vehicle sales outlined in the Mandate, I can foresee the following;
- large stocks of unsold pre-registered EV’s, so manufacturers avoid paying the fines. Many of those pre-reg EV’s will then presumably be sold at a loss. Some car manufacturers might even pull out of the UK market to avoid incurring the fines, resulting in less choice for consumers.
- oversupply of EV’s would suppress used EV values even further (EV depreciation is already frighteningly high).
- some manufacturers might produce fewer ICE cars in an attempt to avoid paying the fines, so by default EV’s become a greater proportion of total cars built. Demand for the fewer ICE cars built would likely exceed supply, and values remain artificially high, like they were during the pandemic.
As outlined in the video, I think there should be greater focus on some of the alternatives such as synthetic fuels, provided they could be produced in sufficient quantity and at an affordable price to satisfy consumer demand. These fuels could use existing filling stations and be used in existing ICE vehicles - apparently with no modifications required - and their use would make a worthwhile contribution towards achieving net zero, provided ‘green’ energy sources are used in their production.
Apologies for going off topic, as I (occasionally :whistle: :grin:) have a tendency to do.