Volvo exits car subscription business in wake of dropping EV production goals

Volvo has confirmed that it will be phasing out its Care by Volvo car subscription service, winding down operations in the UK.

It is four years since Care by Volvo was launched in the UK, promoted as providing easy budgeting as it covered all the essentials except fuel and optional insurance.

At the time, Volvo said its that consumer research had found that 86% of car buyers had said that the traditional car sales process needs to improve and three-in-four said that they were “bored” of the car buying process. The Car by Volvo sign-up process could be completed "in seconds" at a dealership, but also entirely online.

Within a year Volvo Car UK claimed that 15% of its retail sales volume was via Care by Volvo. At the time, an XC40 T3 Momentum could be had for £559 per month.

There was a clear desire to see it succeed - AM learned that, in some instances, customers were told they had a significant wait for a factory-order new car however if they would sign up to Care by Volvo they could have a car within weeks.