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Car running costs for young drivers up £98

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30/08/2016
The annual cost of running a car for a young driver has risen by £98 in the last six months, mainly due to higher fuel costs as global oil prices have rebounded.

It now costs an average 17-24 year old £2,299 a year to run their vehicle, according to comparethemarket’s bi-annual Young Drivers report.

Car insurance remains the most significant cost, accounting for 54% of the total amount. Premiums for young motorists have continued to rise, growing by almost 1% or £10 on average, per driver, since the last report in March and by £143 compared to July 2015.

However, months of fuel price rises have also driven up costs. The average price of petrol and diesel increased for four consecutive months to June, according to RAC Fuel Watch data.

Simon McCulloch, director of insurance at comparethemarket.com, said: “Younger drivers should look at insurance prices for several vehicles before deciding which car to buy – different models can have vastly different premiums, despite seeming to be broadly similar.”

According to the report, the Vauxhall Corsa topped the list as the most popular car for young drivers, followed by the Ford Fiesta and then the Renault Clio. However, only one car, the Fiat 500, made the top ten for both the most popular car and the cheapest car to insure. The Volkswagen Up! topped the list of cheapest cars to insure for the second time, costing an average of £849.

“When buying your first car, it is easy to forget to think about the running costs of your vehicle. By spending a little more money up front, drivers could save hundreds every year on their car insurance,” said McCulloch.

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