Young drivers are now paying more than £2,500 a year to run a car as insurance costs soar. A slight fall in petrol bills has been offset by insurance premiums increasing by up to £302 from last year, according to new figures.
Compare the Market says annual car running costs for young drivers, aged 17-24, have increased by £297 year-on-year to £2,559. It said this is a 13% increase from the £2,263 annual cost in 2022.
Young people typically pay the most for car insurance, with the average annual premium for a motorist aged between 17 and 24 now up to £1,464. This is a 26% jump year-on-year.
