Fleet used car prices up 12.1% in 2020, reports Aston Barclay
Average used car prices in the fleet sector rose 12.1% during 2020, new figures from Aston Barclay show.
Its latest Insights Used Market Report Q4/2020 reveals fleet prices finished the year at £11,186 – down 4% or £467 on Q3 but up £1,213 on Q1 2020 and £1,387 than 2019 as a whole.
The report also says that fleet prices should remain stable in Q1 2021 as volumes remain variable.
Martin Potter, managing director – customer, commented: “It also may be late in 2021 before we see the fleet sector volumes stabilise on the back of the constant contract extensions experienced since lockdown 1.0 in March 2020. This should keep prices relatively stable certainly in the first quarter of 2021.”
Both diesel and petrol used cars recorded their third consecutive highest priced months on record during Q4 2020 and record year-on-year growth. Diesel prices rose by 12.7% from £8,046 in Q4 2019 to £9,070 in Q4 2020 and petrol increased by 37.6% from £4,470 in Q4 2019 to £6,152 in Q4 2020.
Aston Barclay’s data also showed prices of used alternative fuel vehicles surged in Q4 2020, but this was to the detriment of sales. AFV prices rose to £14,208 during Q4 – a 6.2% increase from the start of the year and the third consecutive quarter of average prices over £14,000.
It warns that up to four in 10 alternative fuel vehicles (AFVs) remain unsold at auction as the sector becomes increasingly ‘out of kilter’ with equivalent petrol and diesel models.
Instead, Aston Barclay is recommending the price guides re-evaluate prices downwards in Q1 2020.
Martin Potter continued: “Unsold AFV stock typically runs at 5% but we’re now seeing some numbers between 20-40% for some fleet vendors. This reinforces our concerns for some months that this stock is overpriced in comparison to equivalent petrol and diesel models.”