How to beat the Credit Crunch

How to beat the Credit Crunch: Ditch the car for a motorbike
Bennetts reveals bikers can save over £300,000 over a lifetime by riding to work

A leading Personal Finance Expert has today revealed that Brits can save a staggering £337,700 over a lifetime by swapping their car for a motorbike. The study, conducted by Chartered Financial Planner Martin Bamford, was commissioned by Bennetts, the UK’s number one for bike insurance , to investigate the cost difference between commuting to work in a car versus a bike.

With the increasing cost burden on motorists in mind, the research shows that car drivers could save over £6,500 a year (£130 per week) by riding a motorbike, when costs including finance, tax, depreciation and parking are taken into consideration . An easily overlooked expense highlighted in the findings is time – with riders able to save four and a half years over a lifetime from beating the traffic jams on a motorbike as opposed to a car.

The overall findings suggest it costs a staggering 47% more to drive a car to work rather than using a motorbike in the current economic climate. The saving is particularly relevant for Londoners, with those riding a bike in the capital saving a massive £1,920 a year getting to work by escaping the £8 a day congestion charge to enter into the central congestion charging zone .

The research was commissioned by Bennetts to support Ride to Work Day which falls today (16th July). Ride to Work Day is a national campaign introduced by the Motorcycle Industry Association (MCIA) to encourage all motorcyclists to get out and about on their bikes and ride to work, ideally with a pillion.

Endorsing the cost return in riding a motorbike, Martin Bamford found that bikers can make substantial savings of over £6,500 per year which include savings such as;
• Depreciation – £2,074
• Tax – £97
• Finance - £2,255
• Parking – £2,328

*Based on the average commute of 39 miles , five days a week, over the course of a year.

Martin Bamford says; “Running a car is significantly more expensive than riding a motorbike and with government plans to increase Vehicle Excise Duty, 55% of car drivers will be even worse off when new prices are introduced in 2009/10.”

The Personal Finance expert continued, “People tend to have various misconceptions around biking and often forget about the burden of depreciation - cars plummet in value shortly after you buy them and are an expensive to buy in the first place. The credit crunch is making it much more expensive to borrow money, so financing is likely to be made a lot cheaper if people decide to purchase a motorcycle.”

Mark Fells, Marketing Director at Bennetts says, “It’s incredible to see just how much bikers can save on the roads by travelling around on two wheels. We hope that these findings will encourage people to review their personal transport methods in an effort to lower costs and reduce the hassle of commuting.”

Recent research has revealed that 86% of bikers could save money by insuring with Bennetts . Log onto www.bennetts.co.uk to find out more information.



- Ends –

For further information, contact details or photography please contact: Sophie Smallwood or Toby Steele at Frank PR on 020 7693 6999 or email bennetts@frankpr.it

Notes to editors
Bennetts is a trading name of BISL Limited, Pegasus House, Bakewell Road, Orton Southgate, Peterborough, PE2 6YS. Registered in England No. 3231094.

BISL Limited is authorised and regulated by the Financial Services Authority.

Martin Bamford
Martin is a Chartered Financial Planner and Certified Financial PlannerCM certificant who runs his own firm of independent financial advisers, Informed Choice. He is one of the youngest and most successful financial planners in the UK.
He is author of three best selling personal finance books - The Money Tree, Brilliant Investing and How to Retire 10 Years Early - all published by Pearson Prentice Hall.
Martin is an Associate of the Personal Finance Society and an Associate of the Institute of Financial Planning. He is a contributor to various financial publications and is regularly quoted in the National Press.
He was recently named as one of the most influential financial advisers in Britain, in a survey by Professional Adviser magazine.
THE BACKGROUND TO BENNETTS
• Bennetts was established in Coventry by the Bennetts family in 1930 to provide insurance services to people throughout the West Midlands.

• In the early 1980’s Bennetts decided to devise a number of specialist insurance schemes that would meet the needs of different types of biker. These schemes are constantly reviewed to give bikers the exact cover they need.

• In 2000 Bennetts was the first motorcycle insurance specialist to offer the ability to buy insurance online, through its website, www.bennetts.co.uk.

• In October 2001, the Bennetts brand was acquired by the BGL Group (formerly the Budget Group of Companies), through its purchase of the Dial Direct Group, a major UK car insurance intermediary.

• The BGL Group was established in 1992, and has grown to be the UK’s third largest personal lines insurance intermediary, through a combination of organic growth and a series of major strategic acquisitions.

• The BGL Group now arranges and administers insurance for around 2.3 million customers with more than £600million GWP. It has contact centre operations in Peterborough, Coventry, Sunderland and Cape Town, South Africa. It currently employs 2,255 people and its head office is in Peterborough.

• In May 2003, Bennetts unveiled its new brand identity to the industry.

• Bennetts became personal sponsor of former World Superbike Champion Neil Hodgson in May 2003.

• In June 2004 and again in June 2006, independent brand tracking research identified Bennetts as the UK’s number one brand for motorcycle insurance.

• In January 2005, Bennetts signed the biggest sponsorship deal in the history of the brand by becoming title sponsor of the 2005 Bennetts British Superbike Championship. Bennetts continued its sponsorship of the British Superbike Championship in 2006 and 2007.

• In June 2007, Bennetts became official series sponsor of the World Superbike Championship for the remainder of the 2007 championship and for the whole of the 2008 championship.

• Bennetts became personal sponsor of current World Superbike Champion James Toseland in July 2007