Car-rental rates to stay mainly stable

CAR-rental prices are expected to remain broadly stable over the next year, with improved vehicle availability helping to keep increases moderate across most major markets. American Express Global Business Travel’s Ground Monitor 2026-2027 forecasts relatively small increases as rental fleets become better balanced with demand following several years of vehicle supply constraints. In Europe, the Netherlands is expected to see one of the largest increases, with rates forecast to rise 4-5% due to changes in motor vehicle taxes. France and Spain are expected to remain virtually flat, while Germany could see increases of between 1% and 2%. In the US and Canada rates are forecast to increase by between 1,5% and 2%, while Brazil and Chile could see increases of 2% to 4%. Australia is expected to record increases of between 3% and 3,4%. Despite the more stable outlook, several factors could place pressure on rental costs. These include geopolitical disruption to automotive supply chains, rising tyre and insurance costs and lower used-car values. Sophisticated vehicle technology could also add to operating costs, as advanced driver-assistance systems make some repairs more complex and expensive.