Records tumbled as used car values rose by 3% in August to £6,223, while recording a 30% year-on-year increase, according to British Car Auctions (BCA).

Average used car prices have now increased every month since last November and year-on-year values are now £1,458 or 30.6% ahead of August 2008 – reflecting how far values fell last year and how significantly they have recovered in 2009.

“The fact of the matter is that the bounce-back by used cars from the economic downturn last year has been exceptional,” explained Tim Naylor from BCA. “Although there is a relative shortage of cars, there is still plenty of demand and as a result prices have rallied.

“Prices in the last few months have been completely unprecedented, going up by between 25 and 30% and even more depending on the car.”