You are here: Home - Saving & Banking - News -

Garages ‘rip off’ their customers

Written by:

A new report has found that many garages charge inflated prices for their services. Mike Collins takes to the road to find out more  

A recent survey by Warranty Direct amongst 3,000 garages across the country has found that some garages are charging ‘extortionate’ labour fees of up to £170 an hour for routine service work.

The highest rates were in London, but 80% of regions surveyed across the UK had labour charges peaking at more than £100 per hour. However, one spokesperson for the motor industry said that the findings were ‘misleading’.

One fact that no one disputed, however, is the marked price differences between franchised dealers and independent garages. These are at their widest in the West Midlands, the survey said, with the cheapest franchise charging £66.35 an hour and peaking at £117.45, while the cheapest independent came in at £23.50

<>p> Overall, the highest charges were levied in the south east and London, with the average fee coming in at £116.53 an hour and the most expensive £170 an hour.

Duncan McClure Fisher, spokesperson for Warranty Direct, said: “Garage rates are still extortionate, but motorists can help themselves by asking how much they charge an hour. Unfortunately, once you get the bill, it’s too late to yell.”

Matthew Carrington, chief executive of the Retail Motor Industry Federation, said there were good reasons for the price differences. “Franchised dealer labour rates are higher overall because of the extra costs these businesses incur in order to meet the standards expected by both consumers and car manufacturers.”

He continued: “Costs are naturally highest for businesses in metropolitan areas, especially central London. Those in the regions will be able to charge less as because their overheads are lower.”


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Netting a good deal?

With 50% of consumers switching savings providers due to disappointing service, are banks any closer to providing what customers want?...