Used car prices record 32nd month of growth
The latest data from Auto Trader’s Retail Price Index has revealed that used car retail prices remain stable.
The data, which is based on circa 900,000 daily pricing observations, shows that the average retail price of a used car in November was £17,801, marking a 4.7% year-on-year (YoY) increase on a like-for-like basis, and the 32nd consecutive month of growth.
Although the rate of YoY growth is easing from the all-time-high of 32.2% recorded in April, last month’s performance remains very positive, with average prices increasing on the massive 29% growth recorded in November 2021.
Auto Trader’s director of data and insights, Richard Walker, said: “Despite the broader economic uncertainty, the ongoing year-on-year price growth supports our cautious, but confident, outlook for the used car market. The metrics we’re seeing are in line with what we would expect to see at this time of year, and although it would be easy to interpret the month-on-month softening as a sign of a looming crash in prices, we are not seeing any signs of this. With levels of demand remaining robust, and no indication of a significant improvement in levels of supply anytime soon, we can expect used car prices to remain stable into the new year.”
Sue Robinson, chief executive of the NFDA, added: “The used car market remains in a strong position with franchised dealers and independent retailers benefiting from robust used car prices and sustained levels of consumer demand. Auto Trader’s Retail Price Index reveals year-on-year growth is softening but remains very positive at nearly five per cent on top of previous records, and importantly, we are yet to see external factors relating to the broader economy and energy bills impact levels of demand in a significant way.”
