Garage labour rates hit record high

Motorists have been inflicted with yet another sting to their pocket books today with the news that garage labour rates have risen to a record average of £83 per hour, according to Warranty Direct’s annual Labour Rates Survey. According to their recent press release, the average labour rate (franchised and independent workshops combined) climbed 3% to £82.86, up from £80.44 in 2011 and over 10% higher than two years ago. Warranty Direct also found that the rate fluctuates widely, with some garage's charging a reasonable sum of £36.60 per hour while others could be hit by rates as massive as £201.60 per hour. The data, based from Warranty Direct’s 50,000 live policies, studied nearly 4,250 workshops and found that smaller more independent workshops have seen a substantial rise from £60.68 per hour in 2011 to £64.58 in 2012. This shows that the gap between what the independent local garage charges versus the larger main dealers, whose rate averages a hefty £95.94, is getting smaller.

Duncan McClure Fisher of Warranty Direct said: “Price hikes continue apace in 2012 and we are now at the point that a simple breakdown could cost an eye watering sum to put right. Some older cars could even be written off by a relatively straightforward mechanical hiccup, especially if you are among the unfortunate group who pay £150 per hour or more. With the cost of petrol and diesel still rocketing, the latest stats will come as a bit of a blow to those expecting rates to have stabilised. There is also some evidence that fixed price service deals are being funded by excessive rates for unexpected repairs.”

The most expensive county to get cars fixed is Surrey; an hour of a mechanic’s time costs £98.27 on average. In contrast, car owners in Powys, Wales, are charged the least, with the average of £58.46 almost half that being charged in Surrey.



 

Top 10 most expensive regions for garage labour rates


(Franchised and non franchised combined)


 



























































RegionAverage cost for an hour’s labour (£)Percentage difference to 2011
Surrey98.276.76
Middlesex97.19-1.02
Hertfordshire94.43-2.71
Berkshire93.27-0.11
London90.09-0.72
Essex89.341.53
Wiltshire88.5511.36
Cheshire88.306.95
South Glamorgan87.99N/A
Buckinghamshire86.85-3.42


 

 

Warranty Direct, launched in 1997, is the industry's leading provider of direct consumer warranties. They were the first to offer cover against failures caused by ‘wear & tear’ and pioneered warranty cover against faults found during MOT and service procedures. For more details on their used car warranty, new car warranty and extended warranty, please click here to view their website.

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