Price growth continues for 44th week
Car price growth has remained strong into March, according to the latest data from Auto Trader.
It found that between 8-14 March the average price of a used car increased 5.8% year-on-year on a like-for-like basis, marking 44 weeks of consecutive price growth. Whilst the rate of growth has continued to ease since the peak of 8.5% in mid-December, the data indicates it’s stabilising, matching the 5.8% year-on-year recorded the prior week.
Director of data and insight, Richard Walker, said: “Since mid-January we’ve seen consumer demand accelerate, and with just a few weeks until forecourts can fully reopen, levels have far exceeded our expectations. Along with the strong sales performance already being recorded by most retailers, it gives us real confidence in a rapid recovery post-lockdown.
“Strong price growth has helped to support robust profit margins for retailers and it’s reassuring to see that the easing of growth rates we’ve been tracking since December has begun to stabilise. With increasing levels of demand in the market, we don’t see any reason for big price corrections or adjustments in the coming weeks.”
