Used car prices hold firm

Used car values at BCA fell just £34 during February, or 0.4%.

The average sales price during the month was £7,564, which was still 9.4% ahead of December’s average price.

Demand was driven by larger car supermarkets and franchise dealers, with interest strong in the two to four-year-old category.  

Stuart Pearson, BCA COO, said: “February trading continued to deliver very good news to the used car sector with firm prices and a healthy churn of stock. The uplift in values seen in January was maintained into February and buyer engagement was particularly significant, with BCA attracting one of the highest monthly buyer audiences recorded.

“A number of larger retail outlets have continued to buy in significant volumes as they seek to replenish some particularly low inventory levels in recent months. The size of the BCA’s buyer base and strength of demand have all helped to contribute towards a stable used car marketplace, with vendor supply and buyer demand well-balanced across most sectors.

He continued: “With generally improving economic conditions on the horizon, there’s every expectation that retail demand for used vehicles will remain positive. Perhaps we should also start to be a little more optimistic about the potential for the used car market in the year ahead.”