How much more do cars and car insurance cost?
New car prices were 0.9% higher and second-hand cars 2.5% lower than a year earlier in August 2026. Car insurance was 4.3% higher. About 34.5m cars were licensed in 2025.
On a year earlier, August 2026.
On a year earlier, August 2026.
On a year earlier, August 2026.
Cars over time
What’s this?
How much higher the price of new cars is than a year earlier.
What it cannot tell you: It is an average across the country; what you pay depends on where you live, what you buy and when.
What’s this?
How much higher the price of second-hand cars is than a year earlier.
What it cannot tell you: It is an average across the country; what you pay depends on where you live, what you buy and when.
What’s this?
How much higher the cost of motor vehicle insurance is than a year earlier.
What it cannot tell you: It is an average across the country; what you pay depends on where you live, what you buy and when.
What’s this?
The number of cars licensed for use on the road at the end of each year, in millions.
What it cannot tell you: A licensed car may not be driven often, and the figure counts cars, not people who drive.
What’s this?
The number of cars registered for the first time in the UK in the year, in millions.
What it cannot tell you: It counts registrations, not sales to drivers: dealers and manufacturers also register cars, and imported used cars are counted when first registered here.
Month by month
Change on the same month a year earlier.
| Period | New car prices, yearly change | Second-hand car prices, yearly change | Car insurance, yearly change |
|---|---|---|---|
| August 2026 | 0.9% | −2.5% | 4.3% |
| July 2026 | 0.6% | −2.0% | 8.5% |
| June 2026 | 1.4% | −1.2% | 6.3% |
| May 2026 | 0.9% | −0.5% | 5.7% |
| April 2026 | 0.8% | −0.3% | 5.4% |
| March 2026 | 1.4% | 0.4% | 4.4% |
| February 2026 | 1.9% | 0.8% | 3.1% |
| January 2026 | 1.8% | 1.1% | 4.1% |
| December 2025 | 2.4% | 1.1% | 0.8% |
| November 2025 | 2.3% | 0.9% | −1.4% |
| October 2025 | 3.1% | 1.2% | −1.9% |
| September 2025 | 2.7% | 1.1% | −4.9% |
Questions people ask
Are car prices coming down?
New car prices were 0.9% higher and second-hand prices 2.5% lower than a year earlier in August 2026. A fall in the rate is not a fall in prices unless it goes below zero.
How many cars are there in the UK?
34.5m licensed at the end of 2025, and 2.07m registered for the first time in 2025.
What does “new car prices, yearly change” measure?
How much higher the price of new cars is than a year earlier. It was 0.9% (% a year) in August 2026, down 3.3 points on January 2021. The highest we have is 7.3% (July 2022) and the lowest −6.4% (February 2001).
What does “second-hand car prices, yearly change” measure?
How much higher the price of second-hand cars is than a year earlier. It was −2.5% (% a year) in August 2026, down 10.3 points on January 2021. The highest we have is 31.1% (March 2022) and the lowest −15.5% (January 2009).
What does “car insurance, yearly change” measure?
How much higher the cost of motor vehicle insurance is than a year earlier. It was 4.3% (% a year) in August 2026, up 15.6 points on January 2021. The highest we have is 53.4% (July 2023) and the lowest −16.8% (March 2021).
What does “cars licensed for the road” measure?
The number of cars licensed for use on the road at the end of each year, in millions. It was 34.5m (million cars) in 2025, up 5% on 2020. The highest we have is 34.5m (2025) and the lowest 30.3m (2014).
Sources: ONS Consumer Prices Index; Department for Transport and DVLA, Vehicle licensing statistics. Updated every night. Each chart has a CSV and a Share button.
See also: Petrol and diesel · Inflation