Used cars in the doldrums in December

Used car sales activity fell to an almost-dormant level at the end of November and this situation is expected to continue throughout December.

However, certain vehicle segments have performed significantly better than others, leading to relative shortages in supply.

A slow-down in sales is not uncharacteristic for the few weeks leading up to Christmas, but this trend has already been in place throughout much of November. Dealers are experiencing erratic levels of enquiries on their forecourts, and any spikes in activity are modest and short-lived. Furthermore, many potential buyers cannot raise the necessary finance to fund their purchases, stifling dealers’ chances of securing much-needed sales.

In most instances, dealer stocks are more than adequate to meet the present demand, though there may well be shortages of the most desirable used cars in the New Year.

Small cars priced up to around £6,000 are already becoming difficult to source, and over the coming weeks this situation will become more acute. The same is likely to be true for lower- and upper-medium-sized, premium-brand cars with a reasonable specification, which would retail between £7,000 and £9,000.