Demand ‘volatile’ in LCV market
LCV values averaged £9,800 at BCA in June, up by £283 compared to May. Year-on-year, values for June 2022 were down by £133 compared to June 2021.
While average LCV values have risen for the first time in 2022, demand remains volatile.
Stuart Pearson, BCA COO UK, said: “It underlines the somewhat unpredictable nature of the current marketplace that average values should rise in what typically has been one of the quieter months for light commercial vehicle demand. The competition for the best presented stock has contributed to the increase in average values this month, however even the best vehicles need to be realistically valued when compared to the premiums that buyers were prepared to pay last year.”
“BCA is working closely with vendors to ensure valuation strategies are in line with market expectations and, where appropriate, recommending pre-sale refurbishment and mechanical repair that can help vehicles attract a bigger buyer audience and sell more quickly. The market is definitely experiencing a period of volatility, and therefore some realignment of expectations will undoubtedly help to balance out the current mismatch in supply and demand.”
He concluded: “The new LCV market continues to experience pressure, recording the sixth straight month of significant decline in year-on-year volumes, so even though things may be challenging for the used sector, a significant downturn in values is unlikely in the medium term.”
