Used Car Values make a Recovery in May
The used car market has suffered in recent months, but there are signs that things might be on the rise one again. The BCA’s latest Pulse report has shown that the average monthly used car value in May increased sharply from the fall recorded in previous months, rising more than 8% to just above £7,000, with individual, rather than company, purchases behind most of the surge.
There was also the good news that values had increased markedly over the past year, with a 15% year-on-year increase showing that, while slow at times, the used car market was still growing at a steady pace.
The BCA report highlighted that an average used car cost £7,045 in May, up more than £540 when compared to April's figures and the first month-on-month increase reported since the start of the year. Fleet and lease values also improved and dealer part-exchange schemes saw values hit new all time highs, reporting massive year-on-year growth in excess of 30%! Average values in the nearly-new sector also saw minor rises in May, from £19,663 the previous month to £19,919.
The BCA UK operations director, Simon Henstock, commented on the report, saying that "buyers have greater choice than they did earlier in the year" and adding that this choice was reflected by an increase purchase levels.
The boost in used car values, including used Ford cars, also mirrored the recent news that new car sales had reached a new high in recent months. The car market in the UK as a whole currently seems in a strong position, with increased consumer interest overall.
The industry is hopeful that this momentum can be carried on into the second half of the year and with Ford dealers like us offering such a wide range, it may well be the case.
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