Northern Ireland is said to have seen an increase of ?2,105 in just one year on the cost of running a car.
With car prices rising due to petrol prices increasing and the cost of road tax going up, car loans are being put at risk.
The AA has discovered that heavy resale losses are also adding to the list of reasons why the cost of keeping a car has risen at four times the rate of inflation.
Those worst hit are 4x4 drivers as very heavy taxes have been forced on them. This increase has meant that there has been a 22 per cent increase in the amount 4x4 drivers have paid this year compared to last.
As well as these increased fees imposed onto 4x4 drivers, the average family car has seen rises of ?601 since last year.
Despite these high increases, Northern Ireland is doing better than the rest of the UK when looking at car running costs. The AA have said that Northern Ireland's fuel costs are lower than the national average and that their insurance figures have remained a lot more stable than they have done in other areas of the UK. However, they also pointed out that drivers in Northern Ireland are still paying a lot more than they were last year.
The Government imposed road tax has meant that car resale values have significantly reduced, meaning that many people have to pay back car loans that outweigh the price of the car.
As a result of the decreased resale values, many people are not selling their car, even though they cannot afford to run them because the loss they would suffer from the sale would mean that they would be paying off car loans for a car that they no longer have.
With car prices rising, car loans
are being put at risk.
The Government imposed road tax has meant that car resale values have reduced, meaning that many have to pay back car loans
that outweigh the price of the car.
Some cannot sell their car as the loss they would suffer would mean that they would be paying off car loans
for a car that they no longer have.
