As new car sales see as sharp drop off in their numbers, used vehicle auctioneers are having a better time of it any have been announcing growing volumes of used cars coming through their doors.
The new car market is clearly not in a good way. Lay offs have been announced across the board at car firms, with major manufactures really struggling with production as demand is so low. Bentley have also announced redundancies last month, highlighting that the crunch is hitting the luxury market also. Official figures show a 30.9% fall in new car registrations in January as compared to the previous year according to the Society of Motor Manufactures. 1974 was the last time there was a fall of this scale and there looks to be continuation of this trend in the new future. 3 years is the predicted length for the slump in car sales according to many industry analysts.
On the flip side of the coin it seems to be that second hand car purchases are on the up, with 2 of the largest car auction names (BCA and Manheim) stating record numbers up since last year. BCA announced that there were more sales of cars and vans in January this year than any year previous and the vehicle prices have risen for three months on the trot. Estimations have been put forward that suggest an average £300 increase.
Van leasing and car leasing is also on the up it seems as the major leasers are reporting improving numbers this year. This is likely being caused by people leasing their vehicles rather than committing to a buy during this ecomonic low point. Out of all the countries in the UK car leasing in Cardiff has seen the biggest boost.
Manheim, the auctioneer company has released figures that show a spike in the sale of wholesale vans. The spike comes lengthy long lull and marks the first increase since last September. The has been an increase in sales of four wheel drive cars for the sixth month running, which brands like Audi being top of the pack.
