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Penalty points costing UK motorists £132 million a year

New research has revealed just how much UK motorists have to pay as a result of penalty points on their licence ─ and it’s a lot more than you may think.

Figures from the Institute of Advanced Motorists (IAM) and price comparison website MoneySuperMarket found the higher cost in insurance premiums caused by drivers who have received penalty points for breaking the law equals £132 million a year.

Unsurprisingly, those with a greater number of points end up having to pay the most in increased premiums. It found those with 10-11 points paid 81.8 per cent more than those without points while those with 12 or more paid an average of 89.3 per cent more.

Meanwhile those at the other end of the spectrum, with 1-3 penalty points, paid an average of 5.1 per cent more, while those with 4-6 points paid 25.8 per cent more. Having 7-9 points cost drivers 45 per cent more.

The research divided up the totals by area. London came out on top, with drivers paying £8,079,529 extra annually. Glasgow came in second place with an average of £4,080,190, followed by Birmingham, at £3,423,840.

Manchester came in tenth place in the top 10, with a total of £2,026,561. Swansea came ninth, with a total of £2,036,358. Bath and Plymouth managed to dip below £1,000,000, suggesting they are less likely to break any motoring laws (or perhaps are better at not getting caught).

IAM chief executive Sarah Sillars said of the findings: “If people don’t understand the safety dangers of the offence they have committed which has earned them the penalty points, they should certainly understand the damage it will do to their bank balances.

“And someone with multiple points and fines is paying through the nose for car insurance; just think what other things they could use that money for. Driving safely could put thousands back into your pocket.”

Insurance expert at MoneySuperMarket Kevin Pratt added: “When it comes to driving offences, points definitely don’t mean prizes. In fact, points on your driving licence mean pounds – extra pounds payable on your car insurance. Insurers want to know about your motoring offences so they can build up a picture of what kind of driver you are.

“The more points they see for offences such as speeding and careless driving, the higher your premium will be. A typical £500 premium would increase to around £525 for someone with just a single three-point speeding offence. But someone with six points on their licence could see their premium leap to £625.

“Drivers with points on their licence should shop around and compare prices when it is time to renew their insurance as it is highly likely they will get a cheaper offer with another provider.

“The message is simple: points on your licence puts pounds on your premium. So stick to the speed limits and drive with care, courtesy and attention to avoid unnecessary costs.”

The figures were calculated by multiplying the total number of drivers in each city and the number of points on their licence by the per cent increase.

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