THE scramble to buy bargain nearly-new cars as their prices are savaged by falling new car prices and uncertainty over price cuts is creating chaos throughout the used car market. Owners of vehicles up to seven years old are grabbing the chance to pick up cheap nearly new vehicles, but the glut of old stock has provoked a dramatic downturn in the market. Half of Britain's cars are becoming worthless, according to CAP Black Book, the trade guide to used car values.

Senior editor Daren Wiseman said: 'More than half of the cars on Britain's roads are more than seven years old and they are becoming less desirable by the day. A 1993 K-reg Ford Mondeo 1.6LX with 150,000 miles is now worth just £830 to the trade in average condition. Scrapping cars can be expensive and some owners are just dumping their cars at the side of the road and walking away.

'But this problem does not just affect 'old bangers' any more - cars as young as four or five years old can be a minefield for dealers because used car values are still plummeting.'