Britain remains one of the most expensive places in the EU to buy cars, a new survey showed today.
Despite decreases in price on many models, the gap between the cost of a car at home and its identical counterpart on the continent remains "substantial", according to the European commission.
Motorists would be well-advised to compare prices in different member states so they can make a fully informed purchase, said competition commissioner Mario Monti. "A consumer who buys a car at a lower price in another member state should not face any anti-competitive obstacles," he added. The warning reflects frustration that EU rules introduced last year obliging manufacturers and distributors to open up their dealership networks to more competition have yet to deliver the expected closing of the price gap between national markets.
Meanwhile, consumers trying to take advantage of cheaper prices beyond their own country still face long delivery times and hefty supplements, including hundreds of pounds for right-hand drive versions.
European car prices, before tax, are generally lowest in Denmark, Greece and the Netherlands. Within the 12 "eurozone" countries, Germany and Austria are the most expensive car markets. The UK is traditionally the most expensive car market of the 15 member states, but the recent depreciation of the pound against the euro has helped shift the balance.
Today's survey shows that the gap has now grown to up to 45.5% - the difference between the pre-tax cost of a Fiat Seicento in cheap Spain and expensive Austria.
About 35 car models are between 20% and 42% dearer in Germany - the most expensive market - and the cheapest national market within the eurozone.
Add non-euroland Britain, Sweden and Denmark and the pre-tax price gap widens further, with Denmark generally the cheapest pre-tax place for car buyers.
"It is clear that the new rules on motor vehicle distribution have not yet reached their full potential. The report shows slight though insufficient progress towards a truly single market for car distribution," said Mr Monti.
