Glass's Older Car Guide has identified eBay – an online auction site – as a growing force in the disposals market which could lead to a new generation of private buyers prepared to bid electronically for ex-fleet vehicles.

It says car dealers can run low-cost operations that are ideal for targeting a cost-conscious market.

Using the eBay system, sellers pay £5 to list a car and then £15 commission on sale. Visitors to the site then place bids on the vehicle offered.

Paul Witten, director of eBay Motors said: 'Many people question whether selling major items like cars online could ever be a success. In the US, we have developed a $3.5 billion business, with people buying and selling everything vehicle-related you could think of.'

Currently there are 1,600 cars on the UK site, predominantly very old cars, but some values suggest that confidence in this direct method of selling is growing.

Among the cars which recently received significant bids were a BMW M5 for £30,100, a BMW 330Ci for £25,000 and a Porsche Boxster for £20,100.

Witten added: 'The challenge for people to sell cars on eBay is to describe the vehicle as accurately as possible.'

Confidence in internet buying is growing. By October last year, 62% of UK adults, or nearly 30 million people, had accessed the internet. By the end of last year, nearly half of UK households had access to the internet and during December 12.8 million internet 'surfers' visited an online retailer, with 70% going on to make a purchase. Although the large amounts of capital involved may be a limiting factor for some customers, there are a growing number of buyers who are prepared to pay for cheaper cars.