Driving School Price increases Jan 2011

On the 1st of January 2011, the fuel tax duty was increased and just 4 days later VAT on all services in the UK was increased to 20%.
These 2 changes have meant a large increase in the operating costs of driving school owners, and I was wondering how many instructors or business owners would be bold enough to pass these increases onto thier clients by increasing driving lesson prices in 2011.

Before the end of last year, I had letters from my utilities companies, driving school car leasing agent and many other service providers informing me of an increase in the price I would be paying due to the government tax changes, so overall every school owner will be faced with increased operating costs even if they change nothing, yet many will not be passing those price increases unto learner drivers via lessons.



I know some good driving instructors who are either national franchise owners or been established long enough have raised prices, but for the majority, the fear of losing business will stop them from following suit.

With this year seeing a lot of goverment cuts including job loses, this is not a very good time to consider becoming a driving instructor, but the funny thing is there are many people who are going to start new businesses that will take advantage of the current economic criss, you just need to know what the needs are and fill them. For me, I have done what any decent business owner would do, pass on the changes and concentrate a lot more on selling my services through effective driving school marketing.

Wishing you all sucess in the year 2011, and hope you continue to make good profits.