‘One in three petrol drivers will buy a more economical car if excise duty increases’

With petrol prices well above €2 per liter and a possible increase of over 20 cents on January 1, many people are reconsidering what kind of car they want to drive. At least, that is what AutoTrack’s research among 3,500 car owners shows. No fewer than 30 percent of respondents say they will buy a more economical car if fuel prices continue to rise in 2024. This would result in 11 percent switching to an electric car.

It makes quite a difference what price a liter of petrol gets. It has long been said that €2 per liter was a kind of psychological limit, but now it seems to be moving towards €2.50. At a price of more than €2.50 per liter, no fewer than 41.6 percent leave their car at home more often. At current prices, 21.8 percent do so. Only 12.7 percent are considering trading in or selling their current car at current prices, but at €2.50 or more that percentage rises to as much as 59.4 percent.

Of course, these are the more drastic reactions, but other, perhaps milder, adjustments are also possible. For example, 17.5 percent indicate that they will cycle more often if prices continue to rise. Working from home more often (7.2 percent) and looking for a job closer to home (4 percent) is also an option for some. Only 3.6 percent say they will get rid of their car entirely in the event of further price increases and an even smaller percentage (3.3 percent) say they will take the train more often. The train is apparently only seen as an alternative to the car by a very small proportion. The majority of respondents (76.8 percent) currently drive a petrol car or petrol hybrid car. 16.8 percent drive a diesel car (hybrid or not) and 2.3 percent drive electric.

Do you have a fuel car and have you ever considered trading it in? If so, what is the approximate limit for you and what would you buy in return? Let me know in the comments.