“The decline in the used car figures reflects the strength of the figures in 2021, the busiest quarter since records began. Franchised dealers continue to see strong demand in the used car segment driven by a combination of consumer demand and a lack of supply of new vehicles”, Sue Robinson, Chief Executive of the National Franchised Dealers Association (NFDA), commenting on the latest SMMT’s used car figures.
The UK’s used car market has fallen -18.8% in the second quarter of 2022, with 1,759,684 transactions. The first 6 months of the year see transactions down -8.3% and -12.8% on pre-pandemic levels in 2019.
This time last year in 2021, SMMT recorded the busiest period since records had begun, as a result of COVID restrictions being eased, in turn artificially inflating used car demand.
Used battery electric vehicles (BEVs) saw an impressive 57.1% growth, doubling its market share to 1%. Plug-in hybrids (PHEVs) experienced 1% growth whilst hybrids (HEVs) declined by -4.0%.
Petrol and diesel continued to dominate the vast majority of used sales, with 1,682,280 transactions at 95.6% of the market share.
Sue Robinson added: “Battery electric vehicles increased by 57.1% but still represent a very small segment of the market. Franchised dealers will continue to advise customers on the best car for their needs, particularly in the face of industry supply issues and an increasing cost of living.”
“The NFDA expects used car values to remain strong as the supply of good quality used cars are still lower than normal. Current new car volumes are restricting the number of part-exchange vehicles reaching the market that would normally help supply dealer forecourts, and at the same time some consumers needing a car quickly are turning to the used car market to source their next vehicle.”