Young adults are increasingly forgoing car ownership, with many preferring to allocate their funds towards experiences such as holidays and dining out, according to a recent survey. The poll of 1,000 adults aged 18 to 29 found that over a quarter (27 percent) are unlikely to buy a vehicle in the next three years.
More than one in ten respondents (11 percent) admitted they would rather spend their money on specialty coffees and iced lattes than cover the significant costs associated with owning a car. Another 12 percent view car ownership as an unnecessary expense, while nearly half (47 percent) consider cars akin to household appliances like vacuum cleaners.
The study, commissioned by short-term insurance provider Tempcover, also revealed shifting priorities, with 27 percent favoring spending on mental health days and self-care, and 23 percent choosing dining out or ordering takeaways. Additionally, 19 percent would opt to invest in the latest technology, such as upgrading phones or gaming consoles, instead of buying a car.
Many in this demographic are embracing a more flexible approach to transportation. Almost a quarter (24 percent) indicated a preference for accessing a car only when needed and paying on a usage basis, while 23 percent likened vehicle access to a streaming subscription service.
Adam Craddock of Tempcover noted that for many younger adults, a car is not seen as a prized possession or status symbol but rather as a practical tool and a deliberate lifestyle choice. He added that for a generation that values flexibility, having access to a car when required is proving more appealing than outright ownership.