Over half (52%) of tradespeople are now concerned about the impact of the cost-of-living crisis, rising sharply from 36% a year earlier, according to new research commissioned by Volkswagen Commercial Vehicles. The study also found that one-third (36%) of van drivers worry about money on a weekly basis, highlighting ongoing financial pressure across the trade sector.
The research, based on a survey of 1,000 UK van drivers, identified rising material costs (46%) as the biggest driver of increased expenses, followed by tax and regulation changes (39%). These pressures are creating a challenging operating environment for small businesses that rely on vans for their day-to-day work.
Beyond fluctuating material prices and tax changes, van ownership itself is becoming more expensive. Over the past year, van drivers reported spending an average of £566.32 on vehicle repairs and maintenance, alongside £883.26 on van insurance. Notably, one in three (34%) spent more than £1,000 maintaining and insuring their vehicle.
Late payments are also adding strain to already tight cash flow. The survey found that businesses are owed an average of £3,399.51 in unpaid invoices, with 32% of respondents saying late payments are a direct barrier to growth. For many small firms, this lack of liquidity makes it harder to invest, plan ahead, or absorb unexpected costs.
Alongside financial pressure, mental wellbeing is becoming a growing concern. Nearly half (47%) of van drivers surveyed said financial pressures are their leading cause for worry, underlining the wider human impact of rising business costs in the UK’s trades sector.
Richard Welch, Technical Training & Development Manager at Volkswagen Commercial Vehicles, said: “Tradespeople are facing a perfect storm of rising costs from materials as well as economic changes placing undue pressure on small businesses all over the country.
“It’s therefore never been more important to plan ahead, avoid unexpected pay-outs and spread the cost with vehicle service plans. Our all-in service packages allow customers to do just that, with peace of mind and no hidden costs.”
To help address these pressures, Volkswagen Commercial Vehicles offers a range of ownership support packages designed to improve cost predictability for drivers and businesses. Its 5+ Promise comes as standard on new models such as the Volkswagen Transporter, Volkswagen Amarok and Volkswagen California. The package includes five services, three services for electric models, three MOTs, a five-year warranty and five years of roadside assistance, helping customers plan long-term vehicle ownership with fewer unexpected expenses.
For older vehicles, customers can also access the All-in servicing package through Volkswagen Financial Services. This includes two services, two MOTs, two years of roadside assistance and up to two years’ warranty at no additional cost. The package can be paid upfront or in monthly instalments, offering flexibility for businesses managing fluctuating cash flow.
With rising operational costs, late payments and ongoing economic uncertainty, the findings highlight the increasing importance of predictable vehicle running costs for UK tradespeople. Service plans and fixed-cost ownership models are becoming a key tool for small businesses seeking stability in an unpredictable market.
