Used car prices increasing
The average price of a used car was £11,819 in 2017, which on a like-for-like basis equates to a four per cent increase on 2016.
This is according to the latest results from the Auto Trader Retail Price Index.
It also found that despite the significant drop in new diesel car registrations last year (17% decline), the value of used diesels recorded an average price of £13,944 in 2017, an annual like-for-like price growth of two per cent for the year as a whole. The average price of a petrol car was £9,471, representing an increase of seven per cent on a like-for-like basis for the year.
The Auto Trader Retail Price Index, which combines and analyses data from about 500,000 trade used car listings every day, also found that following a £50 month-on-month dip in November, 2017 ended on a positive note, with the average price of a used car increasing £194/1.5% in December to £12,783. On an annual like-for-like basis prices were up six per cent on December 2016.
When analysing average retail prices by fuel type, diesel prices recorded a drop of £143 between October and November. However, prices stabilised in December, increasing £71 on the previous month, with an average of £14,483. This represents a three per cent like-for-like increase on December 2016.
Prices of used petrol cars have continued to outperform diesel in 2017. Between November and December, prices increased £283, to an average of £10,625. On a like-for-like basis, prices of used petrol cars have grown 11% between December 2016 and December 2017.
Karolina Edwards-Smajda, Auto Trader’s retailer and consumer product director, said, ‘It’s extremely heartening to see that despite the ongoing economic uncertainty surrounding Brexit and the negative tone of the fuel debate, used diesel prices are retaining their value. The government’s demonisation of diesel really isn’t helping to build consumer confidence, and nor is it justified as many modern Euro 6 engines are less harmful than their petrol equivalents. Diesels remain an excellent option for many motorists, particularly those that drive long distances and are looking for the efficiency only a diesel can offer.’
She continued, ‘It’s clear that the government’s widely publicised anti-diesel rhetoric has dramatically affected consumer purchasing intentions in 2017. It is however hugely positive to see such a significant spike in AFVs, which highlights an exciting opportunity for retailers in 2018. During the months ahead, the market would greatly benefit from the Government changing the focus of the fuel debate to be less anti diesel and more pro electric.’