The average sum British motorists spend on their vehicles every year has increased by 11 per cent since 2007 because of the rising costs of car insurance and motoring taxes.

Research from Sainsbury's Finance shows the average car insurance customer currently coughs up around £2,338 per year – excluding the cost of interest repayments on car loans – compared to under £2,100 two years ago.

Sainsbury's car insurance manager Ben Tyte says the average car insurance premium averages £551 at the moment – a 23 per cent rise on 2007 figures. Meanwhile, fuel prices are lower now than they were last October.

However, he maintains that shopping around is still of the utmost importance when it comes to sorting out car insurance and servicing in particular.

"While certain costs of running a car have fallen during the past year, compared to 2007, the cost of motoring has still increased fairly significantly with road taxes and insurance premiums both on the rise," he states.

According to Sainsbury's, the 0.18 per cent fall in the price of servicing since 2008 is down to the deflationary effects of the recession, although the average cost is still higher than it was in 2007.

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