Used BEV values continue to fall in positive June used car market

Average used car values in June fell by 0.1% or £25 at three years and 60,000 miles, according to cap hpi.

BEV values continue to fall, down -1.7% on average, equivalent to £350. Cap hpi said whilst they remain the worst-performing fuel type regarding value retention, it was “encouraging” that June’s Live movement down is significantly less compared to the previous three months.

Since 2012, excluding the Covid-affected years, the average movement in June has been a decline of 1.2%, and this month has been the strongest June since 2009.

Average petrol values went up at both the one- and three-year age points, with diesel cars and both types of hybrids dropping negligibly.

Cap hpi said July ties with March as the joint best-performing month for BEVs, with values decreasing by the same percentage.

Derren Martin, director of valuations of cap hpi, said: “The air of positivity for used car retail that has been present all year has, if anything, increased in June.

“With interest rates stabilising, inflation falling, and many consumers accepting cost-of-living concerns as the new normal, the appetite to purchase has been omnipresent.

“That is not to say that demand has been through the roof, as it was for prolonged periods in 2020 and 2021 when it was pent-up, but it has been consistently ‘okay to good’ for most retailers.

“As we predicted, there has been little-to-no impact from distractions such as Euro 24 football or the build-up to the General Election on 4th July.

“Petrol cars remain the most desired by consumers, although hybrids and plug-in hybrids continue to be popular for consumers not quite ready to take the plunge and buy a BEV.”