Used car values driven up by EVs and older models
Average used car values rose 0.7% in the last year, according to the Auto Trader Retail Price Index.
Average values increased to £17,306 after their strongest rate of growth in three years.
Growth was driven by high consumer demand alongside a 6.6% fall in stock levels, with average days to sale falling from 31 days in May 2025 to 29 days last month.
Looking at individual segments, demand for used electric cars increased by 36% year-on-year, while stock levels fell by 11% across the year. As a result, used electric cars are selling in just 24 days compared to 36 days this time last year. Three to five-year-old models are proving most popular, attracting 48% of all customer enquiries.
Elsewhere, demand is also strong for older vehicles, with those aged 10 to 15 years increasing in average price by 8.3% to £7,213.
Resilience
Marc Palmer, head of strategy and insights, said: “May’s data reinforces the resilience of the used car market, with car buyers evidently shrugging off broader concerns about the economy. While demand has normalised slightly year-on-year, it continues to outpace supply, supporting both pricing and faster stock turn for retailers.
“Cost factors are nonetheless coming through strongly in terms of the type of car consumers are increasingly looking at. Electric vehicles are the standout story this month, proving hotter than ever as buyers react to the perceptions of costly petrol and diesel motoring. As demand accelerates and supply tightens, EVs are selling at record speeds and, importantly for retailers, prices have now stabilised following a prolonged period of decline.
“We’re also seeing continued strength in older vehicles, where constrained supply and sustained demand are creating clear margin opportunities. Overall, the fundamentals remain firmly in retailers’ favour, with well-priced stock continuing to sell quickly.”
