Dealers have welcomed measures in last week’s Budget, suggesting they may positively impact the used car market, according to November’s Startline Used Car Tracker which surveyed 59 dealers.
Startline research shows net positive for the freeze in fuel duty (+54%), higher living wage (+23%) and increased investment in public services (+23%). The least popular policies were higher employee National Insurance (+7%) and the increase in Capital Gains Tax (-7%).
Paul Burgess, CEO at Startline Motor Finance, said: “What we are seeing here is a pretty good response, overall.
“Out of the big announcements made by the Chancellor, only the moves on employee National Insurance and higher Capital Gains Tax are seen by dealers as having anywhere near a negative effect.
Dealers also welcomed Labour’s £70bn investment in the economy (+59%), the creation of the new Skills England training initiative (+52%) and freeing up of personal tax thresholds (+26%).
Burgess said: “Our reading would be that generally, dealers believe more investment in the economy is good for the used car market.
“It’s interesting that our research also shows that 62% of motorists say they are more likely to buy a car in the next 12 months following the Budget.”