Report on motoring 2004 - summary

Today's motorists are faced with difficult choices regarding their driving habits. While they regard the car as the most convenient way to travel, they meet with congested roads and uncertain journey times nearly every day. Paradoxically, while driving is for many people a negative experience - only one in four motorists actively enjoy driving, down from one in two in 1991 - motorists are not keen to leave their cars at home and also believe that they bear higher motoring-related costs today than ever before.

In fact, such costs have remained virtually constant in real terms over the last 25 years, although personal expenditure on motoring has risen. Although new car prices have continued to decrease dramatically, the perception of rising costs can be put down to spiralling running costs and the burden of taxation. Motorists are unable to accurately calculate the overall running costs of their cars, underestimating by as much as 50% the cost of buying and maintaining a car, as well as the depreciation of the value of the car itself.

The two factors that have seen significant price growth since 1992 are fuel and insurance. 45% of motorists put the rise in insurance premiums down to the problem of uninsured drivers and worry about the UK's poor record in regulating such drivers.

Many drivers believe that the rise in fuel prices is down to Government attempts to raise more revenue through taxation, although a significant proportion consider that the price is due to the Government trying to change driver behaviour. As a lever for altering behaviour, fuel price increases to date have had little effect, with most motorists saying that they would try to drive in a more fuel-efficient manner rather than limit their mileage.

In terms of incentives to ditch the car, the majority of motorists would have to see a £500 rise in costs before deciding that they might switch to a different mode of transport. A fifth of all drivers would still keep their car even if faced with an additional bill for £1,500 worth of motoring-related costs per annum. Although the overall figure of drivers who say that they could not imagine life without their car has fallen since 2003, eight in 10 motorists still say they could not cope without their four-wheeled friend. The small number of people prepared to switch to an alternative mode of transport if forced by economic compulsion undoubtedly reflects the perception that there are few reliable options on offer in the UK. Unsurprisingly, drivers in city centres are most inclined to give up their cars rather than continue to do battle with congested roads.

One reason for motorists' reluctance to give up the car, even in the face of congestion and motoring costs, is the fact that there appear to be few available alternatives. Public transport fares in the UK now rank among the most expensive in Europe, although UK government investment in public transport is near the bottom of the rankings. However, investment has increased as a result of privatisation and public transport operators achieve the lowest operating costs per vehicle km. When asked which method of transport they might choose instead of the car for journeys including the daily commute, 30% of respondents simply did not know. The majority of those drivers who were keenest to retain their car cited a pressing need owing to the location of their home or work, with convenience the factor for 35% of motorists. The issue of unreliable public transport was cited by 18% of drivers as the reason why they needed to keep their car.

Even while the annual revenues generated by the Government from motorists total £42bn, the majority of motorists still say that they would not object to paying so much if the money raised was used to make driving easier. In addition, given the chance to allocate taxes raised from motoring to their chosen causes, most of the revenues would be directed to maintaining the existing infrastructure, with road safety and public transport investment coming second. Motorists are less keen than might be supposed to make building new roads a priority, with this ranking just above education as a desirable use of funds.

However, while there is undoubtedly some element of altruism in such decisions, drivers' views regarding their own behaviour lack consistency. Asked whether they thought they were a law-abiding driver, 92% answered positively, yet 46% of motorists admitted to exceeding the speed limit most days. At the same time 98% of motorists believe that driving uninsured is unacceptable, but 10% know someone who does. The number of motorists who believe that speed cameras are a good idea has also fallen. The issue of changing driver behaviour therefore seems like it will have to be resolved via economic forces rather than by a hope that individual attitudes can change in order to contribute to the greater good.

Given the choice of different charging systems, two thirds of motorists would opt for a system that increased the price of fuel while removing road tax and putting on hold widespread road user charging. The idea behind the scheme would be to rack up costs the more you drive, without being tracked or charged in a lump sum. This method would enable motorists to control more fully the costs incurred, and was preferred to satellite charging, daily charging or flat rate charging via a tax disc mechanism. A fuel-based system would undoubtedly be successful at raising revenues, but its efficacy in tackling road use and congestion is doubtful. Drivers wish for better roads and less congestion, but are unprepared to make personal sacrifices by reducing the amount they use their car in order to achieve this outcome. Motorists are also opposed to satellite tracking; they would endorse it as a tool to fight motoring-related crime, but are unwilling to accept it personally, even with a guarantee of complete confidentiality.

The Report suggests that any future transport policy aimed at controlling car usage and reducing congestion must consider and balance two sets of factors. The first set comprises macro factors relating to the broader issues: the nature of the problem itself, alternative choices to deal with it and enforcement of resulting regulations. The second set comprises micro factors affecting the individual: their personal choices and behaviour, the price they will be prepared to pay and the method with which they will pay it. By understanding how these factors inter-relate, balancing their impacts and communicating options to the wider motoring public, we can look to achieve a transport policy fit for the future.

The RAC Report on Motoring 2005 costs £250.00.