Car price differences between EU member states have actually grown in some instances despite the introduction of the euro.
According to a report from the EU Commission released on Monday, the biggest price difference between the highest and lowest pre-tax prices jumped to 63 per cent compared with a spread of 50 per cent in the last survey. The report served as a catalyst for reform of the block exemption scheme announced last week.
Figures show that a Fiat Seicento cost 63 per cent more in Britain and 25.9 per cent more in Ireland than in Spain.
"The situation as of May 1st, 2002, showed that no significant price convergence has yet taken place," the Commission said in its first survey since euro notes and coins were issued on January 1st. The Commission said car prices before tax were generally lowest in Spain, Greece, Finland.
The highest euro zone prices were in Germany and Austria.
The Commission said that the companies with the widest price differences are General Motors, which makes Opel and Saab, the Fiat group, and Japanese manufacturers Honda and Suzuki.
However, the Commisison said that BMW and DaimlerChrysler and to a lesser extent Ford, including its marques like Volvo and Land Rover, limit price differentials within the euro zone to 15 per cent or less.
