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How will Brexit affect car hire and leasing?

We may still be in a transitional period, but it appears that the main parts of Brexit are done and dusted, allowing us to get back to our everyday lives.

It’s been a worrying time for the car industry, with all kinds of businesses unsure of how future sales and movement may affect them.

With that in mind, we’ve put together a little blog to tell you how Brexit will affect car hire and leasing, and no it’s not as bad as you may think!

The leasing company still takes any future hits

Let’s say you to walk into a Mercedes showroom tomorrow, you buy your car, and then within six months, they announce the brand is pulling out of the UK to focus on other sales. Highly unlikely, but you’ll be left with a bit of a dilemma.

You’ll still have your shiny new vehicle; however, the value may have depreciated even more than usual. Imagine constantly having to try and import car parts that are no longer available freely in the UK?

Those with older Japanese makes and models will no doubt feel this pain.

So, if you were to look into getting a new car pretty soon, then it looks like the only financially viable and safe option would indeed be to lease. No matter the depreciation, or what any future moves your cars brand may make, you won’t need to worry about a thing as it’s all covered in your lease.

You simply enjoy the car then hand it back after your lease period is up.

You can cash in on the uncertainty

Cars will continue to be produced at a normal rate, until something drastic happens, say a factory closure or more uncertainty over the UK in the customs market.

Until then, you’ve got a lot of uncertain buyers, or people deciding to hold onto their current vehicle. This leaves an influx of cars needing to be moved on, either via sale or lease.

The ball is now in your court when it comes to leasing and car hire, and you’ll be in a far better position to haggle the best prices.

Wait times could be affected

It is worth noting, that any substantial changes to the British car market, both UK made and from abroad will no doubt trigger a sudden rush for the leasing market.

With that comes competition, higher prices being charged and a poorer choice of spec or model available, unless you can afford to be put on a potential waiting list.

If you do have a car in mind, then will no doubt be better off trying to sort a lease out whilst the demand is lower, as it may only lead to disappointment the closer we get to ending our transitional Brexit period.

If you are looking to lease or car hire, or just want some helpful, friendly advice about any part of the leasing process or even how Brexit may affect the industry, you can speak to a member of our team on 01925 444750 and they will be happy to assist.

 

 

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