Car insurance costs soar
Comparison site MoneySuperMarket analysed more than three million customer quotes between April and June and found the average premium paid was £512, up from £448 during the same period in 2015 – a £64 rise.
The price increase was mainly down to the hike in insurance premium tax (IPT), a tax levied on insurers but often passed down to the consumer, which went up from 6% to 9.5% in November 2015.
With IPT set to rise again in October, motorists could see premiums rise further towards the end of the year.
The analysis painted a particularly poor picture for drivers in their 30s, with the average policy rising by 22% year-on-year, from £436 to £530.
It was a particularly tough quarter for drivers in the London borough of Harrow who saw premiums rise by almost a quarter to £774.
Drivers in Ilford, St Albans, Wolverhampton and Kingston upon Thames also experienced hefty year-on-year hikes, with prices in each of these areas jumping by over a fifth.
Drivers in the city of Perth saw the smallest average rises, with policies increasing by just seven per cent to £302.
Other minimal price rises were seen in the Scottish town of Dumfries, Aberdeen and Paisley.
The cheapest place in the UK to insure your car during spring 2016 was the Scottish border town of Dumfries at £291, while drivers in East London paid the most at £999.
Dan Plant, consumer affairs expert at MoneySuperMarket, said: “Insurers are also charging more because of high levels of pay-outs for whiplash claims, many of which are thought to be fraudulent.
“Regional price increases could be the result of a surge in accidents or car crime, and each area will have its own story.”