Even a relatively short journey like Grantham to Nottingham runs ~£1750 per annum on a rail season.
If you want public transport to be truly competitive than rail fares have to fall by half if not more.
Yet such a journey would be result in over 11,000 miles traveled a year for a 5 day a week job with 35 days of holiday entitlement (including 8 days of bank holidays) which is exactly my point.
Thats still before anything you would have spent on variable costs (such as fuel, tyres, etc.).
That's all on a fairly cheap car on a lease.
Average age of a scrapped car is about 13-14 years.
That suggests that the £6695 for the Sandero can be amortised down to about ~£515/yr, given that interest rates on savings are near zero there isn't really a capital charge to consider.
£40 VED, £300 insurance and the £120 for servicing and MOT takes us to something order of £1000 per year.
The problem with that is:
- Few people actually pay cash for their cars, so you then need to include an element of loan costs into the purchase costs
- Few people actually drive such a cheap car
- There are likely to be some large maintenance costs within a 14 year life of a car
- There's no certainty that a car would make it to that age, for instance are those figures the available age a car is scrapped or are they the average end of life age (scrapped, written off, etc.) for all cars?
All of which would add to the cost of a car ownership.
There are certainly a lot of people who are paying well over the odds for their transport because they only consider the cost of the fuel for their journeys rather than their total spending.