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Brexit Vote Raises Tesla Prices In The UK Starting January 2017

Tesla has announced it will raise the price of its automobiles sold in the United Kingdom. Those interested in the old value can still order one, but they must hurry because it will only be accessible by the end of the year.
UK version of Tesla Model S 2012-2016 7 photos
Photo: Tesla
Tesla opens first Supercharger at Edinburgh AirportTesla opens first Supercharger at Edinburgh AirportTesla opens first Supercharger at Edinburgh AirportTesla opens first Supercharger at Edinburgh AirportTesla opens first Supercharger at Edinburgh AirportUK version of Tesla Model S 2012-2016
Tesla Motors has explained that the five-percent increase in price on the UK market is associated to the falling GPB, which causes financial losses for the American company if it continues to use the old prices. The same phenomenon is also known as currency fluctuations, and it happens across the globe every once in awhile.

Japanese automakers have long been affected by these changes in several markets, but only for the models that were built in their homeland. In the case of those vehicles, the weak Yen during some moments made exchange rates unfavorable for those companies, which lost money as they sold more cars at the same price.

In the case of the UK’s currency, its value has decreased by approximately 15% since the Brexit vote. This increase has affected imported goods, and even domestic products that included components, ingredients, and other materials that were sourced from overseas.

The situation may remain unchanged for months, if we were to rely on the fact that the British Sterling will reach a plateau, which will eventually bring stability to the region from a financial point of view.

Tesla is not the only business that has raised prices for its imported products in the United Kingdom after the Brexit vote. It is important to note that pre-owned cars will not become more expensive after this change, and the vehicles that are already in showrooms will not get the price hike.

However, all newly imported Tesla models sold after January 2017 will be traded at a higher charge. The same will happen to custom orders, according to a Tesla store manager in Edinburgh, Scotland. Bloomberg reports that customers who have already placed a pre-order for a Model 3 will have to pay more for their cars when it's time to complete the payment.
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About the author: Sebastian Toma
Sebastian Toma profile photo

Sebastian's love for cars began at a young age. Little did he know that a career would emerge from this passion (and that it would not, sadly, involve being a professional racecar driver). In over fourteen years, he got behind the wheel of several hundred vehicles and in the offices of the most important car publications in his homeland.
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