Vauxhall has withdrawn its lifetime warranty cover for new cars, citing changing buyer patterns for the warranty package downgrade.
From January 2015, buyers of new Vauxhalls will receive a three year, 60,000 mile warranty pack in place of the current lifetime/100,000 mile scheme.
Vauxhall Chairman and MD Tim Tozer said the firm’s made the switch because so many retail customers are choosing to buy on PCP. “In today’s market, 65% of retail sales are supported by a finance package and within that, over 60% are PCPs.
“This has dramatically changed ownership patterns resulting in fewer customers retaining their cars beyond three years.”
According to Tozer, it thus “no longer makes business sense to invest in 100,000 mile warranty cover.” Instead, Vauxhall will offer cost-effective extension for four and five years.
Vauxhall launched the lifetime warranty scheme in August 2010, with then-MD Duncan Aldred saying: “We have confidence in the quality of our products and we want our customers to benefit from that confidence too.”
At the time, the 100,000-mile restriction did raise eyebrows as to how ‘lifetime’ it actually was. The warranty also wasn’t transferrable – subsequent owners received a three year, 60,000 mile equivalent – and it also required owners to stick with Vauxhall main dealers for routine maintenance.
Vauxhalls downgrade means Kia once again claims the honour of having the longest new car warranty in the UK, with its seven year/100,000 mile package.