“The used vehicle market has continued to benefit from the backlog on new vehicle production lines, which has been exacerbated by the tragic events in Ukraine” commented LKQ Euro Car Parts’ CEO Andy Hamilton, following the publication of SMMT registration data of Q1 2022. “That said, momentum has slowed throughout the quarter, as millions of households are now feeling the effects of the cost-of-living crisis”.
“These factors – which are also squeezing the new vehicle market – mean the average age of the UK’s vehicle parc continues to increase,” added Hamilton. “For independent garages, this bodes well in terms of inbound work volumes – provided MOTs continue to be an annual requirement. Policy makers ought to note that MOTs are even more critical to road safety as vehicles age”.
“Our advice to garages is not to get too comfortable, and to future-proof their operations through investment in training and equipment. Record numbers of drivers purchased pre-owned zero-emission cars in Q1 – highlighting the need for garages to get hybrid and EV-ready,” he concluded.