Used car market remains resilient as demand holds strong at BCA

The used car market showed robust performance during May, with British Car Auctions (BCA) reporting strong buyer engagement, consistent online activity, and steady values, even as the sector entered a traditionally quieter period.

Used car values at BCA averaged £7,510 for the month, down £282 (3.6%) month-on-month, but still £134 (1.8%) higher year-on-year. Performance against price guides also improved, underlining sustained demand across various vehicle segments.

BCA’s online sales programme has continued to defy seasonal slowdowns, with strong conversion rates and rising buyer numbers—even across school holidays and bank holiday periods. The company’s Bid Now/Buy Now sales channels also saw increased activity, offering instant fixed-price purchasing for fresh-to-market stock available 24/7.

Stuart Pearson, chief operating officer at BCA, commenting, said: “We are delighted to report another strong month for the used car sector in May with values and volumes well ahead of the same period in 2024. Over the last two months, buyer engagement has remained excellent and stock churn reflects a healthy marketplace.”

Retailers are facing continued challenges sourcing prime 3-5-year-old stock, driving a noticeable increase in bidding activity for this age group. In response, many buyers have diversified their sourcing strategies, expanding beyond typical product profiles - an approach that has created new revenue opportunities for some dealers.

Contrary to concerns surrounding electric vehicles (EVs), BCA noted solid demand for used EVs. Interest continues to grow, aided by the company's Battery Health Grading system, which gives buyers a clear, transparent view of battery condition, backed by a detailed report to support retail sales.

Pearson added: “We’re seeing consistent demand, seven days a week, and the notion of prime time bidding has all but disappeared. Whether through live auctions or our Bid Now channel, BCA offers sourcing solutions 24/7, 365 days a year.”

Looking ahead, Pearson confirmed a positive start to June, with volumes already ahead of the same period in 2024. “In what is traditionally one of the toughest quarters for used cars, the current market is significantly more robust than we’ve seen in previous years,” he said.