![Servicing costs in Canberra were found by the AAA to be costlier than in other capital cities. Picture supplied Servicing costs in Canberra were found by the AAA to be costlier than in other capital cities. Picture supplied](/images/transform/v1/crop/frm/ZBtA3uhzm786CWHKXPpjK4/7f3de44e-bc38-4e3a-8c92-4575685e812e.jpg/r0_0_2400_1541_w1200_h678_fmax.jpg)
The average Australian household's cost of transport rose by almost 7.4 per cent in the first quarter of 2023, with Canberra householders paying on average $1610 more than in the December quarter last year, and well above the national rate.
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The Australian Automobile Association's latest transport affordability index revealed that vehicle loan repayments, public transport costs, insurance, servicing and tyres, and roadside assist costs all rose nationally in the first quarter. The only contributing costs which fell were fuel, tolls and registration charges.
The peak advocacy group found Canberra remained the most expensive capital city in the country for vehicle registration, compulsory third party insurance and driver licensing charges.
The average ACT household pays $40.10 a week per vehicle for these charges while Perth, ranked second in the index, pays $34.66.
Canberra also ranked the highest cost national capital for servicing and tyres, at an average $43.81 per week.
However, as the ACT enjoys the highest median weekly earnings in the country, this makes for greater purchasing power so overall, Canberra was ranked the most affordable capital in the country in which to own and run a car, with 14.4 per cent of household income committed to transportation.
Hobart was the least affordable with 18.4 per cent despite its transport costs being the highest.
![Costs associated with owning and running a car increased by 7.4 per cent in the first quarter of 20223, says the AAA. Picture supplied Costs associated with owning and running a car increased by 7.4 per cent in the first quarter of 20223, says the AAA. Picture supplied](/images/transform/v1/crop/frm/ZBtA3uhzm786CWHKXPpjK4/d47c2f15-bf6b-47f9-9379-af4ada003f8a.JPG/r0_0_3543_2362_w1200_h678_fmax.jpg)
After suffering some of the highest petrol prices of any capital city last year, the pressure has now come off ACT fuel costs.
One of the drivers to much-needed competition in the ACT was the adoption of the NSW-initiated FuelCheck app, introduced as a trial in November last year and now locked in place, pending a review.
AAA managing director Michael Bradley described the latest hike in transport costs as a "significant and unavoidable expensive for households and one of the key drivers of inflation".
"The cumulative effect of continually rising transport costs is a heavy burden at a time when Australians are feeling cost of living pressures across the board," he said.
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Last month, in a survey of 713 readers, Australian Community Media data revealed that only 34 per cent of people felt financially secure.
The most recent consumer price index indicator released by the ABS showed a 6.8 per cent increase during April, up from 6.3 per cent in March.
In its methodology the AAA index considered a full range of costs families face when they own a car, as well as public transport costs.
It also compared the affordability of household transport costs across Australia by comparing them with an estimate of the hypothetical household's median weekly income. The AAA models its data on the "typical" Australian passenger vehicle driving 13,800km per year.
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