How have European car repair shops changed service prices in the face of rising inflation?

The economic situation and rising inflation in many European countries is the reason for raising prices. The survey of car repair shop price changes conducted in 2022/2023 by MotoFocus shows how companies within the industry react to the situation. How has the pricing of car repair shop services changed in Central and Eastern Europe as well as in selected countries in the western part of the continent?

Changes in the hourly labour rate in Central and Eastern Europe

At least 3/4 of car repair shops in Central and Eastern European countries have raised their prices by more than 5%. The highest price increases are seen in Lithuania and Hungary – in these countries, some 3/4 of car repair shops have raised prices by more than 10%. Graph bars indicating an increase of up to 10% are relatively low in this case, which could mean that in many car repair shops, price increases have reached over a dozen percent. 

In Poland, the Czech Republic and Slovakia, the increases have not been as high as in other countries in the region. Fewer than half of the car repair shops in these countries have raised their hourly labour rates by more than 10%. 

It should, however, be kept in mind that the profitability of a car repair shop is based not only on man-hours, but also on the sales of parts. Car repair shops are certainly looking at the prices offered by their competition. An owner thinking of raising the price must consider how the customers will take it. If competitors raise their prices, he feels more entitled to raise his own, especially seeing rising costs.