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How a rental car shortage in Europe could scupper summer holiday plans

After long months of lockdowns and curfews Europeans are looking forward to jetting off for a bit of sun and sand -- only to find that their long awaited holiday plans go awry due to a shortage of rental cars.

How a rental car shortage in Europe could scupper summer holiday plans
Tourists wait outside of rental car agencies in Corsica. Photo: PASCAL POCHARD-CASABIANCA / AFP

In many areas popular with tourists cars are simply not available or subcompacts are going for a stiff €500 euros.

Car rental comparison websites show just how expensive renting a vehicle has become for tourists this summer.

According to Carigami, renting a car for a week this summer will set tourists back an average of 364 euros compared to 277 euros two years ago.

For Italy, the figure is 407 euros this summer compared to 250 euros in 2019. In Spain, the average cost has jumped to 263 euros from 185 euros.

According to another website, Liligo, daily rental costs have nearly doubled on the French island of Corsica. At the resort city of Palma on the Spanish island of Mallorca, rental prices have nearly tripled.

Today’s problem is a direct result of the coronavirus pandemic.

Faced with near absence of clients, selling off vehicles to raise cash made a lot of sense for car rental firms struggling to survive.

“Everyone drastically reduced their fleet,” said the head of Europcar, Caroline Parot.

Until the spring, most companies still had fleets roughly a third smaller than in 2019, she said.

Car rental firms are used to regularly selling their vehicles and replacing them, so rebuilding their inventory should not have been a problem.

Except the pandemic sent demand for consumer electronics surging, creating a shortage of semiconductors, or chips, that are used not only in computers but increasingly in cars.

“A key contributor to the challenge right now is the global chip shortage, which has impacted new vehicle availability across the industry at a time when demand is already high,” said a spokesman for Enterprise.

It said it was working to acquire new vehicles but that in the mean time it is shifting cars around in order to better meet demand.

No cars, try a van

“We’ve begun to warn people: if you want to come to Italy, which is finally reopening, plan and reserve ahead,” said the head of the association of Italian car rental firms, Massimiliano Archiapatti.

He said they were working hard to meet the surge in demand at vacation spots.

“But we’ve got two big islands that are major international tourism destinations,” he said, which makes it difficult to move cars around,
especially as the trip to Sardinia takes half a day.

“The ferries are already full with people bringing their cars,” he added.

“Given the law of supply and demand, there is a risk it will impact on prices,” Archiapatti said.

The increase in demand is also being seen for rentals between individuals.

GetAround, a web platform that organises such rentals, said it has seen “a sharp increases in searches and rentals” in European markets.

Since May more than 90 percent of cars available on the platform have been rented on weekends, and many have already been booked for much of the summer.

GetAround has used the surge in demand to expand the number of cities it serves.

For some, their arrival can’t come fast enough.

Bruno Riondet, a 51-year-old aeronautics technician, rents cars to attend matches of his favourite British football club, Brighton.

“Before, to rent a car I was paying between 25 and 30 euros per day. Today, it’s more than 90 euros, that’s three times more expensive,” he said.

In the United States, where prices shot higher during the spring, tourists visiting Hawaii turned to renting vans.

In France, there are still cars, according to Jean-Philippe Doyen, who handles shared mobility at the National Council of Automobile Professionals.

“Clients have a tendency to reserve at the last minute, even more so in the still somewhat uncertain situation,” he said.

They will often wait until just a few days before their trip, which means car rental firms don’t have a complete overview of upcoming demand, he added.

He said business is recovering but that revenue has yet to reach pre-pandemic levels as travel is not yet completely unfettered.

SEE ALSO: British drivers will no longer need an insurance ‘green card’ to visit Europe, EU rules

Member comments

  1. On my last trip back to the UK I noticed Avis had closed loads of branches, very few of the non-airport ones survive. Back in Italy they’ve also closed locations too, Ferrara no longer shows up when I do a search, the nearest is Bologna.

    I was in the UK just as the first pandemic was starting to hit, demand had slumped and prices were very low. It seems to survive they shut a lot of their branches as well as selling off a lot of their cars.

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What is the fine for not filling out Switzerland’s Covid arrival form?

There is one essential form all travellers to Switzerland must fill out, but many don’t. If caught, border guards will hand out fines.

A 100-franc fine could be imposed on those who don’t fill out the Personal Locator Form
Important paperwork: Switzerland-bound travellers must fill out the PLF form or risk getting fined. Photo by Zurich Airport

With constantly changing travel rules, it is difficult to keep up with all the regulations that need to be followed to enter Switzerland (and all the other countries, for that matter).

Since September 20th, everyone arriving in Switzerland, regardless of their country of origin, mode of transport, or vaccination status, must fill out the electronic Personal Location Form (PLF).

Once filled out and registered online, you will receive a QR code which you will have to show when entering Switzerland.

However, some people may be unaware of the requirement and enter the country without this form.

READ MORE: Here is the form you need to enter Switzerland

Checks are done randomly, so many travellers slip in without having filled this form. But if caught, you will have to pay a 100-franc fine.

So far, 200 people had to pay this fine, according to Tamedia media group.

The only people exempted from this rule are transit passengers, long-haul lorry drivers transporting goods across borders,  children under 16, cross-border workers, and residents of border areas.

The PLF requirement is an addition to other travel regulations the Federal Council implemented in September:

Two tests to enter Switzerland are now required for the unvaccinated and unrecovered.

Unvaccinated arrivals and those who have not contracted and recovered from the virus in the past six months must show two negative tests. 

The first proof should be presented when arriving in Switzerland.  Then, four to seven days later, travellers will have to undergo another test, which they must pay for themselves.

Both PCR and antigen results are accepted.

These rules only apply to arrivals from nations not on the Switzerland’s high-risk list. As the United States and United Kingdom are considered high risk, only vaccinated people from those countries can arrive in Switzerland.

This article contains more information on the rules which apply. 

EXPLAINED: What are Switzerland’s new travel and Covid certificate rules?

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