Used-car values rise in December

Used-car values rose to £5,905 during December - up £113 from November's average - as bad weather and the seasonal slowdown hit supplies in the market, figures show.

According to British Car Auctions, average used-car values were down 4.7% or £283 from the same period in 2009, but remained £1,042 ahead of the figures for December 2008.

BCA reported a sharp monthly decline in used-vehicle supplies as well as sales amid lower trading during Christmas, freezing weather and treacherous driving conditions that increase the risk of unexpectedcar insurance claims.

"December often sees a surge in prices as professional dealers acquire stock in readiness for the New Year and 2010 was no exception," said BCA's communications director Tony Gannon.

"However, the weather influence was a significant factor as it left remarketing centres very short of stock - on top of the traditional seasonal slow down and reduced trading period.

"The end result was that supplies of fleet and lease, part-exchange and nearly new cars were well down on November, and this combined with a changing mix of higher value cars offered in special sale sections resulted in average prices rising across the board and for the first time since September."

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