Blog: Why Am I Struggling To Find A New Van?
If you’ve been on the hunt for a new van recently, or you’ve just been keeping up with the news, you’ll know it’s increasingly difficult to find new vehicles. Factory lead times are longer than ever.
There are a few issues affecting the production of new vans for the UK market at the moment. We’ve broken these down for you below.
Want to know what to do if your current contract is about to expire or if you need a van quickly? Carry on reading…
Why is there a shortage of vans in the UK?
This is affecting both vans and cars. The main shortage is with semi-conductors (computer microchips), which are essential to most of a modern vehicle’s standard features. They control everything from starting and stopping to all the electrical functions in between.
The war in Ukraine is also disrupting the supply of certain car and van components. Manufacturing plants in Western Ukraine are a major global supplier, so some vehicle manufacturers are struggling to find alternative sources for these parts.
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Increased demand
During the initial COVID-19 lockdowns, the nation turned to online shopping. Couriers and delivery companies grew their fleets to keep up with increased demand. This coincided with many vehicle manufacturers having to close their manufacturing plants, or significantly slow down production. Any in-stock vans were quickly snapped-up. Since, manufacturers have been slow to recover – and are now dealing with parts shortages.
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Long queue of backlogged orders
The lack of parts needed to build new vans has caused a backlog of orders. Lead times are already into 2023 – with some manufacturers unwilling to commit to a build time or take a new order at all.
As a result, the price of used vans has spiked to an all-time high as dealers scrabble to secure stock. While this is great if you’re replacing a good condition van and manage to find a new one in stock, if your van’s on its last legs, or you’re buying a van for the first time, you could end up paying a premium for a used van.
But don’t worry…
There are still some vans around at the moment. Here at XLCR we have a long-standing relationship with most manufacturers. Because we’ve ordered a steady supply of vehicles over the last 22 years, we are still managing to get vehicles in stock (all be it at a lower rate), but they don’t hang around for long.
Click here to see our Best Van Lease Deals.
Are All Van Manufacturers Affected By The Shortage?
The supply and parts shortages are global issues. No manufacturer has been able to foresee or swerve them. However, manufacturers are handling the situation differently, with different levels of success. We’ve broken down the main ones below to give you a better idea of when you could see a new van from them.
Due to the volume of orders being taken, Ford have decided to close their order books so they can give everything already on order a build date. Currently this means unless a van is already in stock or ordered, you are unable to order a new van from Ford. It is anticipated they will reopen at the beginning of May. Until then, pricing is not guaranteed and it’s estimated lead times will be early 2023 when they do reopen their books.
Some vans are occasionally popping up in stock and we are lucky to have a small batch of Ford Transit Tippers already on order with delivery expected in June. Obviously with new orders closed, these are selling quickly. Click here to secure your Ford Transit Tipper Lease Deal.
Citroen has limited production across its entire range and lead times on new factory orders are currently estimated towards the end of the year. In some instances, Citroen has decided to limit options available on vans to speed-up production. For example, the Citroen Relay is only available in white currently. Metallic paint options will not be produced until 2023.
XLCR has a long-standing relationship with Citroen. We’re still seeing some vehicles becoming available to us with quicker lead-times.
Click here to secure your Citroen Berlingo In Stock Van Lease Deal.
Or click here to see in stock Citroen Dispatch Vans.
Or click here if you're looking for an in stock Citroen Relay Deal.
Renault has taken the decision to close its order banks for all commercial vehicles due to production issues stemming from the ongoing conflict in Ukraine. Renault has large commercial vehicle facilities in Russia where operations have been halted due to ongoing sanctions, as well as sourcing parts from Ukraine. Renault has decided to stop production with no date scheduled for re-opening.
Mercedes is possibly the least affected manufacturer at the moment and lead times on new factory orders are considerably shorter than its competitors. With supply relatively unaffected or quick to recover, we are finding Mercedes vans in stock for quick delivery.
As Peugeot is part of the same group as Citroen (PSA Group), it is tackling the supply issues in the same way as Citroen.
Volkswagen has been hit heavily with production issues and is still struggling to meet demand. Its entire order bank for 2022 was filled before the year even started, so factory orders are now already entering 2023. Most models have a 12–14-month lead-time and up to 18 months on their ‘Sportline’ derivatives.
As Vauxhall is part of the same group as Citroen (PSA Group), it is tackling the supply issues in the same way as Citroen.
XLCR has a long-standing relationship with PSA Group. We’re still seeing some vehicles becoming available to us with quicker lead-times. Click here to secure a Vauxhall Combo Cargo In Stock Now.
Relatively new to the UK market, Maxus so far appears to be relatively unaffected by parts shortages. As these vans are produced in Shanghai, they appear to have a good supply of semi-conductors, so lead times are shorter and vans can be found in stock. However, the recent COVID-19 lockdowns in Shanghai, could see a drop in production imminently.
XLCR has been quick to start dealing with Maxus due to their good supply and we have vans in stock and ready for quick delivery.
Click here for the Maxus Deliver 9 In Stock Van Lease Deal.
Are There Other Stock Vans Around?
It’s not all doom and gloom. We are still finding vans in stock. Because we’re a finance broker we can source vehicles from across the entire UK. Dealerships can only sell physical stock on their forecourt. If there is a van in stock in the UK, we will find it for you. We do the legwork for you and save you having to visit or call numerous dealerships trying to find a van in stock.
If you have a very specific van in mind, it might not be possible to locate that particular vehicle or specification. However, our experts can talk to you about options from other manufacturers that might fit your needs.
We also operate as a ‘one-stop shop’. If you need options, fittings or signwriting added to your new van, we can organise all of this for you, so your van is delivered ready to go.
Why Can't I Find A Pick-Up Truck In The UK At The Moment?
Unlike the supply of LCV’s, the lack of pick-up trucks in the UK isn’t specifically linked to the parts shortage.
Most manufacturers have stopped making them altogether and the few remaining pick-ups in production are in short supply.
Here's what's still in production:
Toyota is still producing the Toyota Hilux. Some of these vans are still coming into stock, however lead times for factory ordered versions can be excessive.
Click here to see the Best Toyota Hilux Van Lease Deals.
Probably the most popular pick-up on the market, when it does come into stock at the moment, the Ford Ranger sells very quickly. Ford is in the middle of a model change for the Ranger so production of the current model has stopped. No new orders are being taken currently, so you can’t order a factory order Ford Ranger truck just yet.
Click here for the latest Ford Ranger Lease Deals.
Isuzu’s only model on the UK market, the D-Max is a strong competitor for rival trucks and seeing a gap in the market for pick-ups they’re becoming a popular option.
Click here for the best Isuzu D-Max Lease Deals available now.
My Van Lease Is About To End. What Should I Do?
This depends on what type of contract your van is currently financed through. The first step would be to check the terms of your current contract. Once you know this, take a look at your options below. Bear in mind, if you're extending a contract, or purchasing your van outright, you'll still be responsible for its upkeep. As your van starts to age, these costs can add up.
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Check if you can replace your van quickly
While vans are in short supply, some are still available. Speak to us to see if we have something for you to switch into quickly. With vans we have in stock, we offer a 48-hour delivery option at no extra cost.
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Place a factory order
Although ordering a new van from the factory comes with considerable delays currently, at some point you may have to bite the bullet and get an order in. Issues are across the board, so the longer you leave it, the longer it will be before your new van arrives. If the situation beings to lift, you're better off being on the order bank.
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Keep your current van
Depending on your contract, this could be an option for you. However, it may be better to look at this as a stopgap rathe than a long-term solution. Older vans require more upkeep and maintenance, and will eventually stop working completely. If you plan to run your van until it dies, you'll need to remember that you're still going to then need a new van in future. If you haven't already ordered ahead, with lead times as they are currently, you might be left paying excessively for a used van (if that's all that's in stock), or for a short-term rental while you wait for stock.
What your current van contract allows you to do at the end of the agreement
In a Contract Hire van agreement? You don't have the option to purchase the van at the end for your contract. You'll need to hand it back to the finance company. Nearing the end of your Contract Hire agreement? You'll need to start thinking about a replacement, the sooner you sort this, the better.
Most finance companies allow an extension period at the end of your contract. These are often limited to 60 months in total - so 60 months including your initial rental period. If you need to order your new van from the factory, it can take 12 months to be built. So, even if you extend your contract for a year, you'll need to get your new van ordered at the time of extending.
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Finance Lease - with a final payment
If you're in a Finance Lease agreement with a final payment, you'll need to make sure you have the funds available to make the final payement and take ownership (title transfer) of the van. Alternatively you could look at refinancing the final payment. If you do this, you can continue to use the van as normal, and won't have to worry about replacing it or handing it back.
However, if you did want to replace it with a new van, chanes are you will have some positive equity in the van - in other words, the van is worth more than the settlement figure. So, if you can find a new van in stock to replace your current vehicle with, since used van prices are at a record high, you should be able to make some money back (subject to the mileage and condition of the van).
At the end of a Hire Purchase contract, you've paid for the vehicle over the course of your agreement. So, at the end of the agreement, the title is transferred to you. Like Finance Lease, you could keep the van, with no finance left to pay. If you wanted to replace it, then used van values are at an all-time hight, so if you found a new van in stock, you could get a great bid for your outgoing van.
If your current van was sourced by us and you would like to discuss your current contact, give us a call and we'll help you decide what your best course of action would be.
If you're considering a new van, or want us to find something that's in stock for you, give our van team a call today.