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Lease price went up due to cut in govt subsidy.


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I placed an order on the 12th of March. The finance was approved on the 17th and payment taken 18th for their admin fee. The lease broker is now saying that the car price has gone up by £3,000 due to the car costing £35,550 so £550 over the new rules that came into force on the 18th morning. All electric cars over 35k don't qualify for £3,000 govt grant from the 18th. 

 

Do I have any rights here? It was a business lease.

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Only came into effect from the 18th March 2021...you placed the order on the 12th therefore it should stand.....its not retrospective.

 

 

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MG itself has pledged to continue offering the full £3000 discount on all EVs ordered before the end of the month, as a gesture of goodwill to any prospective customers who had decided to buy an MG with the previous grant amount in mind.

https://www.autocar.co.uk/car-news/industry-news/government-cuts-electric-car-grant-£3000-£2500

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The lease company are saying "The supplier did not receive your order in time to apply and have your grant approved before the deadline" 

 

They are basically saying that Skoda needs to apply to the govt for the refund which they had not and my order was not confirmed till I made the payment for their admin fee which was done on the 18th morning. 

 

Isn't my application for finance considered an order? 

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The finance was approved on the 17th and payment taken 18th for their admin fee.

 

The deal was complete as per above from that date not when they decide to take payment....unless it states within their T&Cs of the lease agreement otherwise......what Skoda do is Skoda's  problem not yours.

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What does it state in the T& Cs ....? at what point is the agreement legally binding ?  On order or payment ?

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It doesn’t state that. Mostly talks about when I can cancel and that is 14 days from acceptance. 
 

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In accordance with the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations, regulated customers have the right to cancel without penalty within 14 calendar days from the day place your order online or “accept” our quotation via email. For orders cancelled after 14 calendar days, the following cancellation fees will apply:


So does this mean the contract was formed when I accepted the quote and processed the finance? Which was on the 12th of March. 
 

 

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Although mine is unregulated as its business contract hire so states this 

 

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For unregulated Contract Hire agreements (Limited Companies, Limited Liability Partnerships (LLP)
and Partnerships with more than four partners) that are cancelled following the “acceptance” if an
order,  we will retain the processing fee of £198 inc VAT.

 

I have a email that states I have accepted the quote on the 12th of March. 

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So does this mean the contract was formed when I accepted the quote and processed the finance? Which was on the 12th of March.

 

I would say so...that is the date the agreement was made.....as you state the T&Cs doesn't  say otherwise.......

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It says this in their t&c though. 

 

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We reserve the right to change the price of the vehicle, either before or after an order is placed. If the price of a vehicle is changed after an order is placed we shall notify you of the change and you have the right to withdraw your order if the change is not acceptable.

 

So does that override everything or do regulations still apply regardless of what their terms state? 

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But the vehicle hasn't changed price...just the subsidy altered by the Govt...if they wont budge request a refund and cancel the order due to the subsidy change...irrespective of the 14 days cooling off period. 

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They are willing to cancel the order and give the admin fee back but the price of the car is now £100 more a month so was hoping to convince the leasing company to give me at the old price which they had agreed. 

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Cancel the order and wait a few weeks/months. The manufacturers will start loosing orders and have no choice but to reduce the list price. There is hardly any choice left sitting below the £35k mark, so it won’t take long for them to fix it. 

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