Rip off Ireland – a simple example

Let’s assume for a moment you were in the market for a new car and live in Ireland. Let’s assume that you were certifiable, and actually wanted to buy a top of the range, brand-new Ford Mondeo (not that the Mondeo isn’t a great car, just that anybody buying one new versus used needs their head examined)

Let’s go onto Ford Ireland and spec it out. The rule is to choose the most expensive body style, model, paint and extras. We’re going to town here.

ire

That’s a cool €50,125, not including delivery and related charges, apparently.

Now let’s go over to Ford UK and choose exactly the same thing… But hang on a second, it seems like there’s more choice of model and extras. Let’s stick to our plan and choose the best of everything:

uk

£35,565 – a lot of money. But let’s convert that into Euros at the current mid-market rate: €39,666.82 Hmm…

Now let’s look at what your money buys you in the UK:

– A Titanium Sport X versus a Titanium S model
– A 2.5 litre petrol engine versus a 2.2 litre
– Full Alcantara leather versus part-leather
– DVD navigation with touch sensitive controls and USB
– Solar reflective windscreen versus (presumably) a non-solar reflecting one
– Privacy glass
– Sliding load floor
– Dog guard
– Multimedia DVD system
– Roof rails
– 6 CD external autochanger
– Keyless entry and keyless start.

No wonder I’m still happily driving around in my 11 year old Mondy!

2 thoughts on “Rip off Ireland – a simple example

  1. Some possible explanations:

    1. Exchange rate differences aren’t fully reflected straight away. The €:£ rate has fallen a lot in recent months.

    2. Cars built in Dagenham, have to be shipped to Ireland. Seems a feeble explanation, I’m sure it doesn’t cost that much (and I don’t know for sure that’s the case).

    3. Irish taxation / import duty / other government-imposed costs are higher.

    4. ?

  2. 1. True, but not really important from the purchasers point of view. Plenty of Irish shops are offering blanket 15-20% discounts as an “exchange rate special”
    2. Ford haven’t built actual cars at Dagenham for years. They stopped Fiesta production and Dagenham now only builds engines. Mondeos are built in Cologne and Valencia IIRC (I used to work for Ford)
    3. Indeed they are, but again, that’s part of the whole picture from a purchaser’s point of view.
    4. 🙂

    Interestingly, some Irish BMW dealers (official dealers) are now offering 2009 UK import cars with full service/warranty etc! http://www.bmwsterlingcollection.ie/

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