Truck prices refuse to budge
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• by Peter Lawton The cost of commercial vehicles remains as high as ever in Britain while car prices tumble in response to the government's efforts to bring them into line with those on the Continent.
Trade and industry secretary Stephen Byers ignored commercial vehicles when he set a September 1 deadline for manufacturers and suppliers to adopt new sales practices for cars.
This followed the Competition Commissions inquiry and 730-page report into the structure of the motor industry, which omitted commercial vehicle pricing.
The Society of Motor Manufacturers and Traders says average car prices have fallen by about 8%, calculated on the Alliance and Leicester's index.
Mercedes-Benz last week announced cuts across its car range up to 20%, worth as much as 114,600. But a company spokesman says there are no plans to change the price of commercial vehicles, although savings could be made through negotiation with dealers.
Glass's Guide commercial vehicle editor George Alexander says: "I think there is an argument to say that UK commercial vehicle prices are still not on a par with mainland Europe.
"It seems to me that the price jumps as soon as the vehicle crosses the channel and I think the arguments as to why are starting to wear a bit thin.
"Its all back to front. Commercial vehicles are bought for a purpose and used for a good reason, but cars that are bought on a whim have attracted all the attention."
SMMT spokesman Rob Halloway defended commercial vehicle pricing saying it was far more complex than the car market.
He said buyers shouldn't go by list price. "Fundamentally the [commercial vehicle] culture is for deal-making. Dealers are fighting for the business—they have plenty of offers."
One offer is from Cardiff Fiat dealership Victoria Motors, which is giving away a Punto with every Ducat° Maxi sold.
The dealership says it has received a number of calls about the offer but has yet to sell any vans as a result of them.
While some buyers may be able to treat list prices as meaningless and negotiate discounts of up to 35%, many operators still have no choice but to buy on the Continent where the published prices of commercial vehicles remain far lower than those in the UK.