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Citroen cuts prices by up to 13% - Volkswagen and Fiat by 7%

##VWbadge--left## Volkswagen, Citroen and Fiat have reduced the on-the-road prices of their cars by as much as 13%, effective from today.

VW has also announced prices of the New Passat, which goes on sale in January. It will cost between £14,495 and £23,465 - or up to 10% less than the outgoing model.

Combined with the four per cent cut made in January it means Volkswagens has reduced its prices by 11% this year. Highlights of today's announcement include a 7.2% decrease on the Golf GTI, It now costs £14,805 for the three-door, a drop of £1,150, while the price of the 204bhp Golf V6 4Motion is cut by 11% to £2,450 to £19,540. The 1.6 Beetle now costs £12,395, a 4.5% reduction.

##New Passat(2)--left--New Passat## A VW spokesman said: "The price reductions announced today are set to further strengthen Volkswagen's performance in the market. Over the last three years record numbers of customers have chosen to buy a new Volkswagen." The company's market share has incrased from 3.6% in 1993 to 7.95% this October.

In addition to its price cuts Fiat cars will be offered with a comprehensive three-year warranty and roadside services package, made up of one year unlimited manufacturer cover followed by second and third year 60,000 mile dealer warranty. The package also includes 3 years' Fiat AA Assurance.

Delivery charges on all new Fiat cars, previously listed separately, are now included in the OTR price.

A Fiat spokesman said: "This package is one of the strongest in the market place on the grounds that while three-year warranties are now commonplace, few provide them in conjunction with roadside services for the same period of time, especially at the level of cover offered by Fiat AA Assurance."

##Barchetta--right--Fiat Barchetta## Examples of Fiat's price reductions include a £474 saving on the Sceicento S (now £5,995), a £808 saving on the Punto 1.2 16v ELX 3-door (now £9,294), a £1,325 saving on the Brava 100 16v ELX (now £11,994), a £1,250 saving on the Marea Weekend 100 16v SX (now £13,994) and a saving of £2,064 on the Barchetta (now £13,815).

Citroen has introduced RRP reductions of up to £1,220 - or 10.3% - on "virtually all models".

A spokesman said: "These reductions are in addition to a long list of cuts throughout the year. We have been one of the leaders in cutting prices, with reductions to the Saxo range, the 5-door Berlingo Multispace and the new Xsara."

On top of these RRP reductions all models (except Saxo First) also now feature cashback deals ranging from £500 to £1,500.

So, with a price reduction of £800 and a £500 cashback the cost of the 3-door Saxo 1.1i Forte goes from £7,795 to £6,495.

The Saxo 5-door 1.5D with £500 cashback and £300 reduction goes from £9,295 to £8,495.

The Xsara Picasso 2.0 HDi SX with £800 cashback and £1,220 price cut now costs £13,695, previously £15,715.

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