Just received a note about revision to the cost of cars on our lease scheme.

The monthly cost of my car has gone up .... 43% OUCH!!!

Previously there was the option to choose another if I wished, now its taken out of my hands, its just way beyond my limit!

Oh well at least I don't have to decide whether or not to stay with LR, the decision is made for me ... Stornoway Grey GS ... What a fine motor ... but not any more ... ... psst look at my gallery!
Company cars ... a thing of the past - May 2013.

Last edited by avtur on 25th Nov 2008 4:32 pm. Edited 1 time in total

might have changed by the time it comes round  Former Mod/Member, with the most post & Chicken George Arch nemesis

Ever the optimist ... but I fear the only way is yet further down ...

The 2.5% saving on VAT certainly isn't going to help me with this one.

Have you seen that TATA are after £1billion in loan guarantees from UK plc ? Stornoway Grey GS ... What a fine motor ... but not any more ... ... psst look at my gallery!
Company cars ... a thing of the past - May 2013.

43% avtur? Sorry about my ignorance but isnt a lease rate set for duration? he 2.5% is a political spin tool - no substance, small companies on VAT flat rate are worse of now.

TATA ? Its a bit of a cheek - buy a "British" company as a going concern and then ask for a British bale out 07 RRS Java Black

Ex - '56 FL2 SE TD4 manual, Narvik Black, Tinted Glass, Cool Blue LEDS Internal and puddle/wing mirror lights. Smoked side repeats. Genuine Imatation Walnut facia

Steuart64 wrote:

43% avtur? Sorry about my ignorance but isnt a lease rate set for duration?

You're quite right, in my haste to have moan I didn't explain it too well.

Yes I am locked into a price for the duration, but reviewing the latest prices if I compare my current deal with the cost of the same deal today, then the increase is 43%. An HSE Auto is up 46%.

I am restircted by the maximum price I'm allowed to pay, but even for those on higher job grades who are not subject to that cap, then I can't see anyone being prepared to accept that increase for their next FL2. Other makes have gone up, e.g. Jag, Volvo but thier increases are more like 15-20%

This doesn't look good Land Rover, although I suppose that stating the obvious. Stornoway Grey GS ... What a fine motor ... but not any more ... ... psst look at my gallery!
Company cars ... a thing of the past - May 2013.

Mine is also on a lease which has been fixed for the 3 years of my contract, so I feel comfortable with the amount being charged.

I will obviously check with the lease company but as they are faily elusive, does anyone know if I should see a reduction in the total monthly instalment, as I receive an invoice every month which has VAT on it? FL2 TD4 XS Santorini

Presumably the lease cost has rocketed because residuals of most cars, and certainly LRs, have plummeted.

As for VAT reducing monthly payments; surely the answer is maybe! The company can only charge 15% VAT, but can either pass that saving on to the customer, or bolster his margins; his choice not yours sadly.  Life is not a dress rehearsal!

Nick Jan wrote:

Presumably the lease cost has rocketed because residuals of most cars, and certainly LRs, have plummeted.

Yep,

That is most of the problem...

My car is on a 30 month contract, my current deal is based on a residual of 61% of new price.

The same deal signed today (again 30 months) would be calculated around a residual of of just 39%.

That sounds bad, it is, but when you see that expressed is £'s it is frightening.

The car is a GS Manual and the 30 month residual for today's deal .... £9200  Stornoway Grey GS ... What a fine motor ... but not any more ... ... psst look at my gallery!
Company cars ... a thing of the past - May 2013.

Seems like a good time to opt out of the Company scheme and buy your existing car from the lease company 

christian138 wrote:

Seems like a good time to opt out of the Company scheme and buy your existing car from the lease company

Its a strange deal, I only receive a car allowance if I take a car through the company lease scheme. If I don't do that then its the standard casual user mileage rate 40p for 10k miles and 25p there after but no assitance towards purchase.

I'm happy to run the car through the scheme but there is no way I'd run it privately it's a liability, especially on the mileage I do. Stornoway Grey GS ... What a fine motor ... but not any more ... ... psst look at my gallery!
Company cars ... a thing of the past - May 2013.