UK government plans crackdown on car costs

Date posted: December 23, 2013

In an announcement made on Wednesday 4th December the UK government revealed a series of measures due to be implemented in order to cut down the cost of motor ownership and driving – with a particular focus on injury claims, which are thought to be increasing the average cost of insurance for motorists.

The new measures are in response to statistics which show that fuel costs are considered the biggest problem for most drivers, with variations of up to 10p per litre in some areas depending on the type of road and proximity to the motorway. A new scheme is due to be piloted next year which will provide up to date price comparison information to drivers via roadside signage. MOT processes have also been tackled, and are expected to be frozen at a maximum of £54.85 until 2015.

Both announcers and commenters have placed heavy focus on what the government has referred to as the “compensation culture” which leads to exaggerated or fraudulent whiplash claims resulting in large payouts. Independent medical advice panels will be introduced to the process to help identify these claims – a move which has been welcomed by medical professionals and members of the motoring industry alike.

Justice Secretary Chris Healing told BBC Radio 5 live that he hoped the reduced payouts expected to result from this move would be used to reduce insurance premiums for drivers, adding: “It’s not right that people who cheat the insurance system get away with it while forcing up the price for everyone else – so we are now going after whiplash fraudsters and will keep on driving premiums down.”