Average wholesale used car values fell by 3.3% or £234 to £6,783 in August, according to Manheim Remarketing’s latest market analysis.
Overall average vehicle age has remained static but mileage has increased by 1,348 to an average 52,331 miles which is the highest monthly value reported in market analysis over the last two years.
Month-on-month values for fleet were down for the fifth time this year with a 2.3% (£134) reduction to £5,791. Dealer part exchanges fared better, remaining stable with a £26 increase (1.2%) and at an average price of £2,179. Although manufacturer stock was down by 5% (£665) to £12,647, this followed an increase of 5.1% in July.
There has been a significant drop in overall average used car values since August 2009, with prices now down by 8.2% (£607).
The sharpest decline is in the fleet sector, with values down by 13.5% (£900) on this time last year, although both average age (by 2 months) and average mileage (by 3,166) increased over the period. Manufacturer and dealer stock has remained comparatively stable over the last 12 months, drifting downwards by 2.2% and 4.3% respectively.
Mike Pilkington, managing director, Manheim Remarketing, said: “With additional economic pressures to run fleet vehicles on longer contracts, it is inevitable that older vehicles with higher mileages will come through the auction halls.
“Although fleet values have fallen there has been some stock clearance activity going on with August prices also reflecting the seasonal lull.
" The stability of dealer part-exchange values suggests an underlying strength in retail demand for ‘budget’ cars, although volumes sold in the month were low due to the imminent ‘60’ plate change.”