Average used car values fall in August at BCA

Average monthly used car values at BCA slipped back in August 2022.

This was principally driven by a changing model mix through the online auction channel.

Values averaged £8,954 across the board at BCA in August, down from £9,464 the previous month, with performance against guide values down marginally on July at 97.3%. Encouragingly, sold volumes rose to their highest point since March 2022, despite August traditionally being one of the quieter months for used car sales.

BCA reported that demand improved during the month and while the better condition vehicles generated significant interest, buyers started to shift their attention towards lower grade and higher mileage vehicles.

BCA UK COO Stuart Pearson said: “Given the ongoing concerns around the cost of living, inflation and interest rates, political uncertainty and the ongoing war in the Ukraine, trends in the used car market were relatively positive in August.

“Sold volumes increased at BCA in August and while average values came under some pressure, this was largely a result of the change in model mix that is typical at this time of year. Seasonality has made a return in 2022 and trading activity across the wider used car market has settled down to more familiar patterns as the constraints imposed by the pandemic have receded.

“That said, the ongoing shortage of ex-lease, rental and OEM stock is likely to remain a challenge for the wholesale used vehicle sector for some time to come. But even here, the SMMT’s August report noted the first upswing in new car volumes for many months – a modest 1.2% rise – so perhaps we are starting to see the very earliest green shoots of recovery in the new vehicle sector?”

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