Yes, I'm pretty sure that it is due to the weakness of the pound.
Compared to 3 years ago, the pound is down about 25% against the Euro and the US Dollar, and 40% against the Yen. If prices of cars hadn't gone up sharply, there would be something strange.
If cars had risen in price compared to other countries, we'd be seeing a lot of businesses springing up enabling buyers to import cars from the continent, as was the situation a decade ago.
The fact that the story is attributed to "What Car? investigators" would tend to heighten my scepticism about it.
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