How Could 'Brexit' Affect Motorists?

Here's how we could be affected if we were to leave the EU...

You’ve all probably read about how ‘Brexit’ will affect the automotive industry and how the majority of manufacturers seemingly supporting the ‘in’ vote, but how will it effect you (the motorist)?

The country seems to have gone into a bit of a panic since David Cameron announced that the EU referendum he promised last year would certainly take place on June 23 of this year.

Britain hasn’t even left the EU yet and the pound sterling has already dropped slightly in value against the dollar – last month was its lowest since the recession back in 2008. The U.S. investment bank said, as part of a client report: “An abrupt and total interruption to incoming capital flows in response to a 'Brexit' could see (pound sterling) decline by as much as 15-20%." 

However, RAC spokesman Simon Williams recently said: “A 20% fall in the value of the pound would – based on current exchange rates – only add £2 to the cost of filling up an average 55-litre petrol car, as a result of the average price of a litre rising around 4p from 101.95p to 105.56p. This would mean a two-car household filling up with petrol twice a month would spend £232 as opposed to £224.”

Brexit fuel prices

UK motorists are currently enjoying lower fuel pump prices across petrol and diesel than we’ve seen in a while, with both priced at sub-£1 at the cheapest retailers. The cost of petrol and diesel has fluctuated much in the past few years, reaching a high then gradually lowering as oil prices fell. However, fuel is generally priced against the dollar so if the pound sterling drops against it, it wouldn’t be a surprise if costs rose. 

“While the strength of the pound is a significant factor in the price motorists pay for petrol and diesel due to wholesale fuel being traded in dollars, the oil price is currently a greater influence,” Williams added.

Car insurance could also be affected by an exit. 

One of the biggest changes to car insurance in the UK came following the European Court of Justice ruling in 2012 that the industry could no longer take a customer’s gender into consideration when deciding premiums. George Osborne also indicated that insurance premium tax should also reflect other countries, last year, resulting in a rise from 6% to 9.5%. It is unclear as to whether these two policies will remain in play following an EU exit.

Brexit car insurance

If ‘Brexit’ goes ahead, restrictions on trade with the remaining EU countries could also mean a rise in material costs that are imported here for use in British motor manufacturing. If manufacturers decide to keep trading with the additional cost, the UK could then be affected by a hike in car costs or even servicing and general maintenance.

However, despite the well promoted fact that car manufacturers want Britain to remain in the EU, giving them almost restriction-free access to trade and export, Toyota recently confirmed it will stay in Britain regardless of the referendum result, with Nissan boss Mr. Carlos Ghosn also recently releasing a statement, saying it had no plans to leave the UK: "We have a rich heritage in the UK with 30 years of manufacturing and engineering presence, and remain committed to building and engineering cars in the country.  Last year we produced more than 475,000 vehicles in the UK – 80% of which are exported.

“Our preference as a business is, of course, that the UK stays within Europe – it makes the most sense for jobs, trade and costs. For us, a position of stability is more positive than a collection of unknowns.”

Ghosn finished by saying that, ultimately, it’s for the British people to decide. 

So, what do you reckon? Let us know in our anonymous poll...

It appears anyone with thoughts of exiting the EU are considered traitors and the result will be pandemonium should we leave the EU. There is a lot of rubbish spouted by the IN crowd who have not done their homework sufficiently and are not interested in the positive side in leaving. OK so we will have to pay a duty for goods imported from the EU but for manufacturers in the UK this will result in their products being more competitive and possibly their business could grow. As we import approx. 70% from abroad these (EU) exporters are not going to stop a lucrative trade and will continue to trade with us. Sure some "money people" are predicting gloom and doom but this will only be initially and not of great consequence. Before then the government would have organised trade deals with EU countries to ensure any parting will be as harmonious as possible.

The only example we have of a country leaving the EU is Iceland. The reports show that things got worse for a short period, then improved a lot more than had been lost (the so-called 'tick' effect). Since we were doing so well with the dead hand of the EU bureaucracy holding us back, we should do even better when we leave.

"OK so we will have to pay a duty for goods imported from the EU but for manufacturers in the UK this will result in their products being more competitive and possibly their business could grow" Have you taken into account raw materials? Something of which the UK's production of is woefully small. I have an interest in this, if we exit the EU, I will loose my job. Simple, and no question. I work in the UK, France and Belgium. All of my income tax is paid to the UK along with at least 100,000 other EU workers in my field, that will stop. I would require a work Visa for all of the countries I work in and would have to pay local taxes. (Btw, my contribution to the UK tax fund, inc NI, last year was £142,000, with brexit, if I could keep my job, it would be around £25k). Sure,I have a vested interest, but I cannot see the benefit of being outside a community with which we conduct most of our business. To stay on the motoring topic, my cars are all German, bought and taxed in the UK. I don't consider anyone voting for Brexit a traitor, it's your democratic right to vote how you want. I urge all those voting (whichever way) to challenge all the stats etc they are given. (For example, how much do EU migrants contribute to the UK economy? I'd like to see those figures!)

In Out, In Out; Shake it all About!! Hokey Cokey??! OR.. Hokus Pokus??! The effects of the outcome of the referendum are already decided! The posturing of the politicians, and our voting; are all designed to give us the illusion that we have freedom and a choice! And... the repercussions (whatever the result) have been planned WELL in advance, to be the most expedient in increasing the power of the conglomerates and the money barons!... and... reducing our freedom!! You can be sure too, that any little apparently positive titbits that may be thrown to us, are also planned into the expediency of the outcome. "In, out; in, out... Shake it all about!..." "In or out" is not the actual critical factor... but the way that the result has been planned to affect our freedom and our income, IS!! It really is basically a load of Hokus Pokus!!!... mainly Pokus!!! And... we continue to dance to their tune, and think that we are in control and that everything is fine!! Hokey flamin' Cokey!!!

I want out we are paying so much into EU but what do we get out, STRAIGHT BANANA.

Personally I am against paying to Turkey to join the EU I find it hard to swallow them demanding billions of which Britain would have to pay £500 million

What are you talking about ? Before posting on the internet did you at least get informed a little bit ? Iceland never been part of the EU ,although it is part of European Economic Area . They applied for membership in 2009 but dropped few days ago ,mostly because of the fishing quotas ,though unofficially .

Yes true never a member (lucky them) but they clearly had their reasons not to join - fishing I bet was one of them! But Iceland still has free trade arrangements with the bloc and is part of the Schengen visa-free travel zone. So all the benefits without the idiots in Brussels, sound like what the EU should have been.

- never

Personally, I think we would be better out, although I do think that there are positive sides to europe, especially in social law. The Tories and Labour want us to stay in. OK. The why sign up to all the parts of the EU, like open borders, joining the Euro, plus pay the British Pensioners the same Pension as they are practically the lowest in Europe, if you want to stay in the EU, then you have get the social benefits for the population at large.. I think we should all go back to an EC for trade and that's it. One positive thing that I think that could come out of this is, that we may see the growth of manufacturing, as there would be less European restrictions on them and a whole world to trade with including the EU. Just think how easy it would be to get all the PLC's in the world to operate out of the UK by giving them a 10% Corporation Tax :) . Why is it cheaper to buy a car in mainland Europe than in the UK ?? It seems to me the ordinary folk don't gain much from the EU, it seems to be the multi nationals that love the EU, as it make sit easy for moving their profits around to pay no tax ! So, if we come out then we have good MP's fighting for us, and if we stay in, then we must sign up to everything in Europe, that way the ordinary person in the street, will get some benefit from it. Either way, I don't care as long as people take on the Government, and don't let them get away with things so easily.

I don't really care about the short term consequences. Sometimes you just have to do what you need to do. Let's compare it to a long term relationship. If you choose to break up there will be consequences of course. You'll have a period of time when you're busy getting your affairs in order and your finances might take a hit BUT in the end if you'll be happier out than in it's worth it. I'm a British nationalist. I'm proud of that and if it means I have to pay a few extra pennies at the pump or anywhere else for that matter then I'll take the hit for my country and my children.

It's not like it's fixed. It's just extraordinarily easy to control the British public with propaganda.

The country which left the EU was Greenland.

Even though I am not British , I think it's a good deal what they have , free trade without restrictions ,so it'll be good for Britain too . But this wont stop european migrants ,like many hope it will . Beeing part of EEA or have a a free trade agreement with EU will imply free movement and right of work .

Greenland is not a country.

Do you actually know what raw materials are produced in the UK? When it comes to automotive and aerospace production it's actually a hell of a lot and as far as what we import, much of the important stuff isn't from the EU anyway. High end engineering jobs have never had barriers in place and the oil industry in the North Sea has always been full of Americans and Filipinos. As others have stated, it's not just about finances any more and we need to be out of the EU.

I am definately for leaving. There is no doubt that the whole rationale for the EU is to become a Federal State, hence the Currency and next will be Taxation on a European scale, also watch out for a war on your cash. Having said that the Economist are running a weekly series of articles clearly spelling out the good and the bad for both remain and stay, the Economist clearly state they are in favour but the information is excellent and unbiased. I recommend all of you to read them, you will have your eyes opened which ever side you are on. I would point out i have no affiliation or connection with the Economist whatsoever.

There are bilateral double taxation treaties in place between the UK, France & Belgium (nothing to do with the EU). Therefore you would continue to be taxed in your domiciled state (UK) and could not be taxed in France & Belgium.

Oil is priced in Dollars, true but for how long. Most of the wars around the globe are caused defending the petro dollar. Saddam & Gadiffi wanted to trade oil in gold, remember them? Now Putin is suggesting the same and he's now portrayed as the world's bad guy (pending elimination?). The whole world's economy is coming to an end and when the EU falls, I'd rather not be hanging on to it.

How about 'Brexit' meaning that Polish registered vehicles can't be on our roads while insured for £200 a year under Polish law? Neighbour was driving his girlfriend's Polish registered car for almost three years in the UK and tried to call me racist when I suggested that he adhere to the same laws the rest of us have to. The 'six month' rule does not even apply if you are living and working in the UK and hearing said girlfriend lying to Police that her car had been here for three months was the last straw. We need a 'carnet' system for all foreign cars on our roads and if that means that British ex-pats had to conform to foreign laws too, then so be it.

No, it won't, for the simple reason that freedom of movement is one of the core reasons most British are sick of the EU. We have free trade agreements with many countries and it doesn't mean freedom to work.

Greenland is an autonomous country within the Danish Realm.

Sick of being Governed by the Franco-German Alliance at the expense of all other member states. Time we got our Great Britain back. The only way forward is to vote OUT on June 23rd.

Well ,it means with the EU ,see Norway ,Swiss,and Iceland.

I work in Europe, (I will get to petrol/Insurance soon) I am backwards and forwards between the UK and the continent and I see what is happening at the Calais camps and don't ask me about the work of Port of Dover staff. Everytime I go through, I swear there is more staff sitting in one of those little cabins while the queues get longer. One of them had the audacity to be reading a book last time! (I would provide you with photographic evidence (I had enough time to get them) except there are notices up all over telling you not to take pics) However, despite working on the continent I am for leaving the EU, I figure getting through Calais/Dover cannot possibly be any worse than it is now, wherever you put camps. Sometimes the queue to get out of Dover is so long I've nearly set up camp myself! Petrol/Diesel going up or down is usually by the dollar, sure there will be differences but the UK is in sterling not in the Eurozone, you never know, it might be the EU that suffers if we leave??? Has anyone looked at it like that?? Mr Hollande might want us to stay but for his own benefit? Sure he may rip up his agreement to have customs on the French side but even if they do move over here we won't be sending him the money to support building fences and police patrols....we will be keeping it here and our police will be gainfully employed and our builders will have work building fences and we can ask Mr Hollande to send us some money to support this as we will no longer be part of the EU and therefore dealing with an EU issue would surely require some funding from them?? Alas, insurance......women and men drive differently, its a known park better than women (don't quote me I am generalising) and likewise women tend to drive moderately safer (still generalising chaps) and therefore logically women have more accidents whilst parking than men but this tends to cause less damage than the higher speed accidents that men have more so why should insurance for women not be cheaper? (Gulp! I'm sweating now) Just because Euro counterparts thought this unfair ney....discriminatory....if they had to deal with everything that was discriminatory towards women we'd keep them busy for years! Needless to say, I didn't know the UK prior to it being in the EEC/EC/EU, but I do see it now. Some things will win some will lose but it might just be the kick that the country needs, we have people here with the talent to negotiate and renew contracts on our own terms. We have outstanding engineers that make it worth manufacturers staying here for, we have scientists and world class doctors and a health service run without the help from the EU. Nurses may come from the EU, but if we aren't part of the EU would we employ more UK nurses instead of them sitting on agency books and making the NHS spend a fortune paying agencies???? I see I digress from motoring, the above being hypothetical and only my humble opinion so please don't start sending horrible responses, I am sensitive. :-) and am going to fill out my new job application for the role of now how do you spell....P R Y M...MINESTER?

I'm voting to leave the EU, along with my wife and 17 of our friends. A lot of rubbish has been spoken by No 10. The £ may shake for a few weeks but that's all and it's normal in the markets to do this. First, we are the worlds 5th. biggest economy and 10th. by PPP. The EU sell us more than we sell to them, so they need OUR market ! and will not make life difficult for us. If we stay in we can't control who comes to live here, if the 1.5 million migrants are given permission to stay in the EU then all 1.5 million can also live here, nothing we can do about it. We give £55 million per day to the EU if we leave we can spend that money in the UK. The 6 billion Euros just given to help Turkey with migrants of this £500 million came from US ! We have over 700 trade agreements around the world that have nothing to do with the EU. out of the EU we can make that and more again on our terms. We are in Europe but we don't need to be in the political union of the EU. Leave and we will show the world how to trade, we were masters of it and will be again. The worlds first industrial Nation, now we have, as a mature economy moved on to the next stage in that process . Let's vote leave and have faith in what we can do. Go for it !!!!!

Out might be a better option as the EU could well disintegrate due to other pressures.

A leap in the dark into a world that is getting more dangerous by the day. The brexits must be mad we need all the friends we can get. To deliberately snub 27 friendly countries is stupid, it shows a complete lack of understanding of human nature, people who are rejected do not love more they are more likely to grow out of love. Divorces are rarely a friendly exercise and frequently develope into all out war. The major deficit in the brexit case is that they have no plan. their argument is predicated on the concept that we are better and we can as a result of this belief do better. Their hubris is monumental and is likely to harm our children and grandchildren. This so called regaining of sovreignty is an illusion, in the modern world with increasing globalisation the need for compomises increases. No country can do what it wants or wishes to do we are all constrained by circumstances. Just look at the people leading the brexit campaign, would you by car from any of them?

Not a leap into the dark, a GIANT step into the future and it looks good. I have 18 votes with me and I hope to make it 200 more by June 23rd. PS. I would never buy a car from Mr cameron and Co.

Your views should be ignored as you hide behind an ancient non de plume!

The name is not important, it's my vote and the votes I can bring with me. My vote has the same standing as yours but I will try to bring 200 more with me on the 23rd. June.

The only people who want to stay in ain re the people at the top who are busy lining their own pockets at everyone else's expense. Let's get out and get back to being Great Britain

Maybe we need the EU version 2. which is a group of like minded nations without all the stupidity, bureaucracy and lack of democracy of the EU version 1. Suspect we would get at least UK, Norway, Switzerland, Iceland as founding members and perhaps other old EFTA members. Maybe Denmark as well Believe in the EU but not as we know (hate) it!

Out, there'll be no EU soon, why should we be controlled by Germany,this country fought two wars to be free of the nasty burgers.

True!.... so the eventual scenario is a foregone conclusion, whatever the process/result.

Any one who wants to stay in the EU are the traitors to Great Britain. The U.S. investment bank said, as part of a client report???: Rubbish report. The Federal Government of America does,t even own its own monitory system, THAT IS OPERATED BY PRIVATE BANKERS who charge America for its service yes THE American Government. Wasn't it Woodrow Wilson in 1913 who sold out America to the private bankers? Therefore those in America are only looking after their own interests NOT OURS here in the UK. America is so in debt to China who even today is baling out America.

For decades our politicians along with those in Europe have conspired, yes conspired to destroy Britain as a democratic country. They have continually legislated under the table without our knowledge or consent to become a toothless state of Europe. Browns open borders agreement was designed to destroy the fabric of our society at whatever cost, they neutered the press, then outlawed free speech to stop us voicing our opinion about foreigner's entering our country, taking our jobs and houses and being encouraged to come by all the parties bar Ukip. A man in my area who worked for a firm for 30 years was sacked on the spot because he had politely informed a foreign girl to learn better English so he could understand her, she reported him and he was sacked. 75% of new jobs in Britain went to foreigner's, this is genocide of our British workforce. 3 years ago approx. 200 Polish workers were shipped in to build a factory in Markinch, not one local person was employed, the jobs weren't advertised in the employment office, it was kept hush hush. I wrote to my SNP MSP about it , he never acknowledge nor replied. No-one not even those who are MPs/MSPs can trust their leadership for as they have sought to make the people irrelevant so too will they become irrelevant in a toothless state Europe.

All these so called extra costs however what about the billions saved in EU contributions + benefit pay out s ? also how are the EU going to cope without the UK propping it up ? then stopping the free for all foreign aid ( A JOKE POLICY ) where the money always go to a country who use them for other things uses except the one the money was given for ?

Augustus go for PM, the 2nd spot on take on the EU, it completely mirrors my thoughts, shall i be the Chancellor? Do a damn sight better job than Osborne. As you say trade with non EU countries will only improve, France etc need us, Italy ive heard would collapse without us! In 2 years we will be the top economy in Europe by some distance! What an opportunity to say to Brussels go f--- yourselves, would make everybodys day except Cameron & co, deluded idiots!

Well said friend! Trust me it will be virtually painless, as the rest of the World will want to trade with us more, 70% atm, that will increase, China USA & South America will want more trade! Italy are very dependent on England and other EU countries, so they will Demand we keep trading with them and no penalties! Simple really, but complicated to the likes of Cameron and Corbyn!

This will be a vote on independence, and the biggest no brainer in electoral history. The reason the in campaigners keep lying and painting a black picture of brexit, is that there are no proper reasons to stay in the failed EU communist experiment. Your article mentioned that the EU stopped insurers dicriminating with different sexes, well all that has done is made women pay as much as men were paying, when their cover used to be cheaper, as they crash less.

Well said well said, especially the talent that is here! Hate this Government & Corbyn they Couldnt organise a piss up in a brewery! Where is Oliver when you need him ( Cromwell) or St. george? :)

Well said Ralph! GB rules not f--- Brussels.

Who says we need to sign the same deals as Norway, Sweden and Iceland? We could impose eye watering tariffs just the same as EU countries could threaten and it would hurt them far more. Airbus isn't going to gain wing manufacturing expertise and billions in plant investment overnight, the UK could start manufacturing complete aircraft again - there isn't any part of the highest technology we don't still have. Engines, wings, avionics, landing gear, Carbon Fibre - we lead in them all and most of the rest is just posh tin bashing.

The brexiter do not lie, so yes I would buy a car from them.

As long as it doesn't have to include the French we'll be fine. Their petulance and self-centred attitudes are intolerable and in the world of International business I've never met anyone who finds them a pleasure to do business with. The French as individuals are great but give them a grain of power and they all become little Napoleons.

Quite right, my mistake. And it was the EEC, but that was what we voted to join in 1975. Subject: Re: Comment on How Could 'Brexit' Affect Motorists?

Why do we think that we would be snubbing 27 other 'friendly' countries? We would be exercising our right to choose. I will still work in Europe, I will still be friends with my friends in Paris & Belgium. I will reside in my friends hotel over there, I will shop in their shops and use their choice of currency when I do it. Heck I may even buy a French car! My friends would respect our choice and work with me still, I will not be snubbing anyone, whatever the politicians think. I did not think Scotland was snubbing England when it held a referendum last year, I thought it was exercising a choice. Its' choice was to stay and I still drive to Scotland and work in Edinburgh, if they had chosen independence I would still work there every August and I would support them in their choice.................................... You are right no country can do what it likes or wishes, that is naturally governed by the Rule of Law a set of generally accepted International principles and standards, but I would rather be governed by these for myself than someone else' interpretation & enforcement of them. I don't for one minute that we think that we are going to be less safe out than in, in fact I think that it may be a kick up the jacksy into getting us to look after our security better for ourselves. Adopting procedures at borders that enhance our security devised by the needs of our country and not by the needs of so many different countries with widely differing needs. What matters to Germany is different to what matters to the UK. The UK is tiny and even the amount of space we have is wildly different to that of Germany or France. Europe will still pass on security information just as we will still share security information with Europe. Indeed Europe has historically been the subject of many wars, why would we choose to belong to that?..............................................As a female, yes I am annoyed that my car insurance cannot be cheaper even though I am a far safer driver than some, but it goes way beyond that. ....................... If you are so determined that leavers have no plan, I say look at the plans in place for remaining. People getting poorer, than parents despite working extra long hours and more years, not enough appropriate housing for British born people. Poor education standards and a school in Leicester who has to use 18 different languages before it even gets to English. An NHS that is suffering under the weight of supporting people turning up for free health care from any country it likes. Yet the UK has an NHS, it should be a shining example to other EU countries, they should be following our example not drowning us because of it..........I say plan or not I would rather have the freedom to choose and form a plan that works for us than have the current plan dropped on us from a great height with no recourse for our own principles. In fact I am so disillusioned with this country and what I foresee for my future that if we vote to stay in, I myself will consider emigrating and you can kiss goodbye to a degree educated tax paying young business owner whilst saying hello to a million immigrants (for whatever reason and from whichever country) who cost more taxes than the country has to offer, and if you think the UK can't go bankrupt financially or environmentally then we don't need to look too far across the water to see how wrong we are. I am not some idiot who just fancies a change, I am of an age so that I have never known the UK out of Europe, but I do see that my work is not valued and that my future will be poorer than my parents, sadly I am not able to envisage a retirement as I believe I will likely not live to see a state pension due the age at which I can retire looking nearer to 70 than 60 and job stress being so much harder than it was 30 years ago, yet I am forced to watch money spent on immigration and failed EU policies, whilst I work ever harder to keep up with the EU legislation that more and more governs what and how I can work to the point where going on the dole seems like a good career move. It was the baby boom generation that chose 40 years ago to join the EC. It is the baby boom generation that have reaped the rewards of membership but changed it beyond all recognition so that my generation are propping up the institution that is the EU. If I sound angry, then you are darn right I am angry, but I'm also excited that finally after 40 years in the EU I have a choice, and why not as after all, my generation are going to be the ones that are affected by it!

Thank you thank you. I think we are too quick to dumb ourselves down. We should relish the opportunity to vote and really see how good we can be. If we fail miserably, which I doubt, then we can at least say we 'took a flying leap and built our own wings on the way down.'

The 1975 referendum asked do we want to be in the Common Market or not? Most people answered yes on the basis as we were already members we might as well stay in for a while and see how things went. We had been taken in with undue haste after the death of Charles deGaulle by the government of the day even though they had no mandate to do so and the 1975 referendum was the result of the noise the dissenters caused. Charles degaulle had used the French veto to keep Britain out of the Common Market since 1957. Soon after the 1975 referendum the Common Market began to be called the EEC and then a little later the EU which caused more dissent from the ranks of the euro-sceptics. In response a government spokesman was interviewed on BBC Radio 4 and was heard to say "It always was going to be the EU, didn't you know?" and then went on to talk about how it was Winston Churchill's grand plan to prevent any more European wars and how the ultimate destination for Europe was to become a United States of Europe and now the machinery had been put into operation nothing would stop it.. Clearly the question asked in the 1975 referendum was a blatant confidence trick. As far as I am concerned that election was crooked and the people of Britain only agreed to be members of the Common Market. The question at that referendum and the one in the coming June should be "Does Britain want to be a State in the United States of Europe?". My opinion is Britain must be out for a decade or two in order to decide... Britain must be out in order to do right! No other argument has any merit - that lie must be put right whatever the cost or consequences...