BMW has announced that, starting with the 7-series, a single pre-tax list price in Euros will be used in those countries within the Eurozone. Other models will follow later. Adjustments will be made if national specifications vary. The selling price will vary, but only due to national taxation differences.
If other manufacturers follow suit, this will make it very easy to determine IF we are still being ripped-off in the UK as the Euro-Sterling exchange rate is now fairly constant.
If this works it could bring UK pre-tax list prices down very quickly to European levels. This might very well persuade me to change my long held views and vote FOR the Euro in a referendum.
|
|
hardly anyone pays list price
|
|
|
Roger....I think by the time the vote comes round most of will have moved to this conclusion. The pressure will come on to us in a very subtle and gradual way and then increasing as the time gets closer.
I personally think its inevitable.....
Alvin
|
|
|
|
Roger - don't let the 'superstate' fanatics change your mind by dangling cheaper cars in front of you. If the EU-wide price comparison reduces prices in the UK, why join the Euro?
|
|
|
Rogert
Where the common price arguments fall down is that we have the Channel between us and "Them".
This means that the UK Government can operate vastly different tax policies because it is not feasible to whip across the border to the next country each week if you don't like the prices in your own.
Customs and Excise are not going to disappear. Look at the effort they put into stopping UK citizens bringing in boose and fags, even when EC rules do not set limits, the quotas are UK impositions to protect UK tax revenues.
Ditto with prices charged by manufacturers.
Changing currencies will have virtually no effect.
|
One does wonder Robin...It seems a mystery to me why there infrastructure seems far more advanced than ours. Roads, NHS, railways they do seem so far advanced to ours. Where does our money go?. I can only put it down to incompetent Governments of all parties.
Alvin
|
and the senior civil servants and local gov employees are of the very lowest standard in this country
the culture stinks
|
|
|
|
Comparing UK and EU prices will be no less difficult if BMW adopt single pricing in the EU whether or not we join the Eurozone. All it means is that prices in e.g. Belgium will in theory be the same as in e.g. Holland. It will still be necessary to get a price from a EU dealer in Euros, taking account of the cost to adjust the spec to UK standards, the cost of the RHD surcharge, cost of upgrading the warranty to UK standards, costs of getting the car to the UK etc. Finding out the commercial exchange rate which could be obtained has its own difficulties - you can't use the rates published in the papers + if you use an unregulated currency dealer you risk losing all your money if they go bust, as happened recently with Exchange-Direct.
Having said all that, I imported a BMW from Holland last year and would certainly do it again if I replace the car. I just don't believe that car makers will give up their massive UK profits even if we join the Eurozone.
|
Brian..yes I do appreciate what you say. However even though we have lower unemployment levels I feel that this is at the expense of real jobs. Every time we get a news item of any new employment its always in some service sector such as supermarkets or call centres. I think our economy is very fragile and perhaps cynically I don't believe our unemployment figures. They can be manipulated so easily and being retired myself I seem to see very large numbers during the day obviously not working..... I know you could say "how do you know" but one does get this feeling.
But the fact remains Brian that we do seem to be in crisis all the time with our main infrastructure contrary to what we see in France and germany.
regards,
Alvin
|
|
|
|
One wonders........
If the major sources of tax revenue are fuel,alcohol and tobacco,then why do we need to be taxed at approximately double the rate that the French find necessary,where does the money go that it doesnt go in France,and how do the French manage to survive with such low revenues.
We certainly dont build roads with it.
|
|
|
|
Oi - that's because they have higher Income Tax innit. Sounds like a more sensible plan to me.
|
|
|
Roger, the Euro exchange rates aren't really constant, they have swung between 1.55 and 1.66 in the last six months. Having a UK price list in Euro is of no real benefit until we enter the Euro or at least peg our currency as the member countries have for the last 2-3 years.
We already have access to Euro priced cars by simply buying them over the other side of the channel. Rough fag packet calcs show the Euro would need to be below about 1.48/1.50 for the prices to then match UK retail. There are far more important issues than cars that will not allow Mr Brown to allow a peg at those low rates, so until we enter the Euro (at 1.55 or above) then car prices will still exhibit savings large enough to buy in Europe.
Crazed Idiot has clearly not been in a VW, Audi or BMW showroom recently, "discount, sir? What's that?"
|
"Until we enter the Euro"?
Who said we would?
The OECD has now said the Euro is going to be a permanently weak currency. Common currency does not mean common prices e.g a litre of milk in Portugal is 0.67 euros and in Italy costs 1.22 euros
|
> Common currency does not mean common prices <
But according to BMW, VW and Audi, it will. Their cars will have a common Euro pricing next year so, relative to milk, an Audi A4 will be expensive in Portugal and appear "half price" in Italy.
|
Ask the milk sellers. And anyone paying in Euros cheques is being charged commission just as with any foreign currency.
So much for parity.
|
|
|
|
dunno, think the uk private buyer suffers also because such a high proportion of new cars bought here are bought for fleets
in countries where the vast majority of cars are bought new by private individuals the likes of bmw and vw HAVE to negotiate much more
|
|
|
|
Always remember that if you want to buy in Europe you will have to pay the UK banks a fat commission for changing your Sterling into Euros. That is the real reason for all the campaigning to keep Sterling separate.
HJ
|
|
|
Alvin
French indirect taxes are lower than in the Uk, although their VAT rate is slightly higher.
However, income tax and employer's contributions are higher.
So is their unemployment rate at double ours, partly because the higher employers' contributions and protection for staff makes employers reluctant to take on staff.
Not everything is rosy on the other side!
|
|
|
Alvin
I agree that our infrastructure appears to be bad, but as you say, this is a result of the way resources are allocated, the competence of our politicians and civil servants and the way projects are handled, not the different tax or currency systems.
Take the fifth terminal at Heathrow. That took 8 years to go through public inquiry. The French would have simply given the go-ahead at ministerial level.
Look at the money (up to £200 million) being wasted on the inquiry into "Bloody Sunday". That was 30 years ago. Half the people involved are now dead. Who is going to remember details from that far back?
Lawyers are running the Government, but they haven't a clue how to do it and the highest rewards are going to their legal colleagues.
|
|
|
