Motor Trader The award-winning and longest running UK magazine for car retailing professionals. Your first stop for News, Jobs and Reports for the motor industry.
October 2013
The UK’s cost-of-living crisis is pushing more car buyers into the used market.
Research by V12 Vehicle Finance, part of Secure Trust Bank, shows that just 75% of those currently driving a new car intend to buy new again next time, with 17% expecting to buy a pre-registered vehicle and 8% planning to buy used.
The survey of 1,000 consumers also sheds some light on the correlation between household income and the age of the vehicle they last bought.
While 60% of consumers earning less than £25,000 per year bought used, that figure fell to 40% in the £65,000 to £75,000 bracket and to just 27% of those with an income of over £95,000.
The research of 1,000 consumers shows that 37% intend to use dealer finance to fund their next purchase, compared to 31% who used it to finance their previous vehicle.
V12 Vehicle Finance said it has seen growth in demand for stock funding in January of this year, as dealers looked to respond to this increased appetite for used cars.