The used car market enjoyed a buoyant start to 2021, with over double the amount of vehicles changing hands in Q1 2021, compares with the previous year, and around seven percent up on pre-pandemic levels.
SMMT figures show that UK used car transactions rose 108.6 percent on weak Q2 2020 to 2,167,504 units. May and June were the best months for transactions since records began although the market as a whole cooled a little in Q2, possibly due to a contraction of the number of vehicles available.
Prices for used cars have gone sky high in the last year, particularly for EVs and plug-in models.
Mike Hawes, SMMT Chief Executive, said,
This is welcome news for the used car market as transactions rebounded following nationwide lockdowns which closed retailers. More motorists are turning to used cars as supply shortages continue to affect the new car market”.
Commenting on behalf of the aftermarket, ECP’s Any Hamilton said:
“This demand bump, alongside a staycation boom and a new MOT cycle that’s seen peak demand shift to the autumn, should drive more motorists into the independent aftermarket over the remainder of this year”.
While used car sales have been strong over the last few months, the amount of work booked into independent garages has not been. Recent figures show that MOT bookings in Q2 were down 32 percent on pre-pandemic levels, a consequence of the 2020 MOT extension.