Fleet/lease and part-exchange values at record levels

The latest BCA Pulse report shows that the headline average value of a used car rose by more than £350 in April.  

Both fleet and lease and part-exchange values reached record levels in the month, with the low volume nearly-new sector also recording value growth month-on-month.

The headline average value of a used car in April rose to £7,872, up £348 or 4.6% compared to March, although performance against CAP Clean fell by two points to 96.64%.  Year-on-year, values were up by £319, a 4.2% rise with average mileage and age falling over the year.  Performance against CAP Clean was up by nearly a point compared to 2014.

Year-on-year table: All cars

Simon Henstock, BCA’s UK operations director said: “Despite plenty of potential distractions in the form of the Easter Bank holidays and the looming General Election, buyer demand was strong across the range of stock on offer at BCA in April, reflecting an underlying confidence from the trade to acquire stock.   Competition was often fierce, and average values reached record levels for fleet/lease vehicles and dealer part-exchange cars.  The nearly-new sector – despite being relatively very small – also saw average values rise.  The best grade cars are selling strongly and making good money, while vehicles with a high mileage or requiring work need to be priced accurately to sell first time.” 

He continued: “There is no room for complacency, however, as volumes are higher and retail demand typically softens as the summer approaches.”

Fleet & lease cars averaged £9, 700 in April, climbing by £30 compared to March to reach a new record monthly average value.   Average age and mileage declined marginally over the month, while retained value against original MRP (Manufacturers Retail Price) fell slightly to 42.43%.  Average values were up by £76 (0.7%) compared to April 2014, with performance against CAP Clean down by half a point.