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A recent report by brokers Salomon Smith Barney found : "Windfall profits still attach to all vehicle makers selling in the UK. Average operating margins (profits) of 4 to 5 percent in the industry have to be nearer to 20 percent for sales to be made to UK retail customers".
The European dealers order a UK specification car directly from the manufacturer's, so all specifications should be identical (apart from the price). Because the European dealers are used to different option packs, we do ask you to specify exactly the options you require at the time of ordering to prevent any confusion. Many cars imported from the EU only spend 3 days abroad before they are driven back to the UK again.
The consumer's freedom to buy anywhere in the Common Market is one of the fundamental achievements of the European Community and the Regulation reinforces this right. The consumer's right is not accompanied by an obligation imposed on dealers to sell since it is normally in a dealer's interest to maximise sales. A dealer within the Common Market may not reject a consumer's offer to buy or ask for a higher price simply because the consumer is a resident of another EU Member State (from COMMISSION REGULATION (EC) NO 1475/95 OF 28 JUNE 1995 ON THE APPLICATION OF ARTICLE 85(3) OF THE TREATY TO CERTAIN CATEGORIES OF MOTOR VEHICLE DISTRIBUTION AND SERVICING AGREEMENTS - AN INTRODUCTORY GUIDE -).
If you are unfairly treated or a dealer
refuses to supply, write to :
Dieter Schwartz
DGIV
European Commission
200 Rue De La Loi
1049 Brussels
Belgium
Some models may be available sooner than the delivery times quoted in the UK. Typical RHD delivery times are 3 to 6 months, most LHD deliveries are within a few weeks. Note that this is delivery from manufacturer to the European dealer - you still have to go and collect your car. There is a price versus delivery curve which is modified as individual dealer's annual allocations from the manufacturers are used up. In addition, if you are prepared to travel further (say Spain rather than Belgium) and possibly endure longer delivery times, then even greater savings are possible.
By European Union law, all European Union manufacturers have to provide at least European Union wide cover for 12 months (and many provide worldwide cover for 12 months). If you wish to extend your warranty, then insurance policies are available for this purpose .
Most European dealers are unwilling to accept payment by UK cheque, although some will accept payment of your deposit by credit card. Talk to your bank about a bank transfer for the final payment to the dealer's bank.
Grey Imports are cars which are not officially available in the UK.
Always pay the dealership that you are dealing with directly. A dealer will always confirm payments that you have made and you know that your money is safe as in Europe all major companies must display their registration certificate of their company and their full bankers details.
First of all the paperwork must be in the correct order. It is important that you obtain the C.O.C (Certificate of Conformity) from the dealer. Without this certificate you will not be able to register the car in the UK. When back in the UK you have thirty days to pay VAT. Once all this is done you will have to go with your forms, which should be signed and completed, and register the vehicle. This must be done at your nearest DVLA office. You will obviously need a valid certificate of insurance for the new vehicle to do this.
Greater savings (up to 50%) and shorter delivery times are available with LHD cars ordered from Europe. But remember that it will be more difficult to sell a LHD car in the UK and insurance may be more expensive.
Then specify a right hand drive, UK specification car.
The European dealers order a UK specification car directly from the manufacturer's, so all specifications should be identical (apart from the price). Because the European dealers are used to different option packs, we do ask you to specify exactly the options you require at the time of ordering to prevent any confusion. Many cars imported from the EU only spend 3 days abroad before they are driven back to the UK again.
When you buy your car in the European Union, you are liable to pay tax in the European Union country in which you are resident. So when you buy an European Union sourced car, you are liable for 17.5% VAT on the purchase price when you enter the UK. Before you set off to collect your car from Europe, it is a good idea to contact HM Customs and Excise to obtain VAT Notice 728
HM Customs and Excise
Vehicle Appraisal Unit
PO Box
242
Dover
Kent
CT17 9GP
Telephone : 01304-224-372
Fax : 01304-215-786
or visit their web site
You will not be able to drive off the dealers' forecourt unless you are adequately insured. Arrange this before you leave the UK. Get the dealer to give you the Vehicle Identification Number of your new car. Phone around, or get a broker to find you an insurance company who will insure on the VIN only.
Also known as temporary plates, you need these for your drive home and you should, as part of the deal, have negotiated with your dealer for him to supply them. The cost of these should be in the region of 150GBP. Check before you leave the UK.The plates should be valid for one month -check with the Dealer.
The vehicle has been purchased outside the UK for the personal use of the individual importing it or his dependants
The vehicle has been so used by that individual or his dependants on roads outside the UK before it is imported
The vehicle is intended solely for such personal use in the UK
The individual intends to remain in the UK for not less than twelve months from the time when application is made for a first license for the vehicle under the Vehicle Excise and Registration Act 1994
Make sure that any quote you are given
excludes local VAT (obviously known by a different name in other EU countries),
you will not have to pay this. There can be a considerable delay in re-claiming
any tax paid abroad, so make sure your quote is exclusive of local tax.
What you will have to pay is UK VAT at 17.5%
on your return home, whether or not you have paid the local tax.
Germany and Ireland are exceptions to this
rule; you have to pay the local tax there and then claim it back once you have
registered the car in the UK.
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