The country’s favourite car, the Ford Fiesta, cost less than £10,000 ten years ago. Now it will set you back £16,645 when bought new – its an increase of 67%.
The study by Uswitch.com reveals how the cost of owning a car has changed over the last decade.
The research analyses the average cost of car insurance, fuel and road tax and purchase price. The study looks at some of the most popular cars with the highest number of UK registrations, revealing how their prices have changed since 2011.

The price change of the UK’s most popular cars over the last decade

Car

Purchase cost in 2011

Purchase cost in 2021

Increase from 2011 to 2021

Volkswagen Golf

     £13,615

    £23,360

    72%

Ford Fiesta

    £9,995

    £16,645

    67%

Vauxhall Corsa (5-door)

    £12,050

    £16,815

    40%

Ford Focus

    £16,000

    £22,215

    39%

Vauxhall Astra

    £14,310

    £19,185

    34%
Source: Uswitch.com
However, the Ford Fiesta has not witnessed the biggest rise.
Of the five most common UK vehicles, it is the Volkswagen Golf that has experienced the largest price increase. From £13,615 in 2011, the hatchback favourite cost £23,360 today.
While inflation is an accepted part of life when it comes to shopping, the surprise comes when you look at how incomes have changed over the same period. The average annual salary in the UK has only risen by 22% in the same period (from £21,100 in 2011 to £25,780 in 2021), a much slower rate than that of the UK’s most popular car.

The estimated cost of insurance, fuel and first-year tax in 2031

Purchase cost in 2011

Purchase cost in 2021

Increase/decrease from 2011 to 2021 (%)

Insurance

 Insurance for   the average   motorist

     £843

    £436

     -48%

Fuel

 Unleaded
Fuel

 Diesel
Fuel

   £1.33 per        litre

  £1.39 per         litre

    £1.14

   £1.19

     -14%

     -14%

Tax

First-year average Tax – Petrol Car

   £278

    £600

    116%

First-year average Tax – Diesel Car

    £278

    £772

    178%

First-year average Tax – Alternative Fuel Car

    £271

    £591

    118%
Source: Uswitch.com
But it’s not all bad news. The cost of car insurance premiums has decreased by 48% since 2011. Part of the reason for this could be due to the changes since the pandemic started. There have been fewer drivers on the road and a decreasing number of new drivers able to take or book their tests. But the price drops are more likely to do with changes to regulations, competition and new technology for novice drivers. Telematics/black box devices have worked as a positive way of influencing young driver attitudes, incentivised by lower premiums.
Fuel prices have also decreased over the last decade, by an average of 14%, from £1.33 per litre of unleaded petrol in 2011 to £1.14 in 2021 and £1.39 per litre of diesel in 2011 to £1.19 in 2021.
On the other hand, first-year road tax has increased over the same period for petrol, diesel and alternative fuel cars by 116%, 178% and 118% respectively.

Winners and losers

Joel Kempson, car insurance expert at Uswitch.com comments: “It’s good news for drivers that car insurance and fuel prices have decreased over the last decade.
“However, our research also reveals that despite the savings that could be had on fuel and insurance, tax and purchase prices have both risen considerably.
“With the purchase price of popular cars having risen at a faster rate than our average wages, it could mean that more people will struggle to afford a vehicle, especially first-time drivers.”