Used car prices soften in April
20 May 2011
Auction prices in the fleet sector fell in April, according to both BCA and Manheim.
Manheim reported a drop of 3.0% to £7019, while BCA saw prices fall 1.7% to £7413 in April.
Particularly badly hit, according to Manheim, was the executive sector within fleet, which was down 9.3%. BCA said it had seen sold volumes drop 19% compared with March and year-on-year values were running 5.8% below 2010.
A BCA spokesman said: "Buyer confidence has been quite fragile for some time now and we said several weeks ago that the combination of the late Easter and the Royal nuptials had the potential to disrupt trading. When you add in the hottest April on record to the equation - which must have had an impact in the retail sector - it has resulted in the most tangible evidence of a softening in demand we have seen this year."
Mike Pilkington, managing director, Manheim Remarketing, added: "As predicted, values did come under pressure in April because of an increase in supply and a softening of retail demand. Increased supply came from the influx of March part-exchanges and increased levels of end-of-contract and extended contract fleet and lease vehicles."
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