The used car market looks to be on track for a record year after a bumper H1 saw 3.3 million vehicles sold by the end of June – an increase of 01% on 2016.
Cap HPI claims that high demand in the first half of the year has put the used car market on track for a record year, citing a record March in which 728,525 changed hands – 6% up on the same month in 2016 – as a key contributor.
It is only the second time since 2004 that the used market has passed 700,000 vehicles in March.
Philip Nothard, consumer and retail specialist for Cap HPI, said: “Motor retailers are increasingly turning to used vehicles to support margins.”
Many industry analysts have predicted that used car prices could falter as supply starts to outstrip demand, the result being possible difficulties with new car finance agreements.
But Nothard suggested that this did not seem to be the case. He said: “To date, strong demand has helped to support stable prices in 2017. If the current trend continues, we will see a record year for used car sales.”
The total used market exceeded 7.7 million vehicles in 2016, beating the 2015 figure of 7.2 million and the previous 2004 record of 7,731,609 vehicles, said Cap HPI.