NAMA reports 5% fall in fleet values for June
Values for fleet cars fell by 5% in June, according to the latest monthly report from the National Association of Motor Auctions (NAMA), as trading conditions remained challenging.
The data also shows that average values of used cars sold at auction in June across the board decreased from £4,625 to £4,550, equivalent to a 2% decrease. Year-on-year, the average price of cars at auction has increased by less than 2% from £5,875 to £5,975.
NAMA adds that fleet sector conversions were the lowest compared to manufacturer/rental and dealer part-exchange although there was an improvement in all three sectors as vendors realised that market prices were heading in a downward spiral. The organisation said that the corporate sector is still less willing to accept the price decline, but has been moving more in line with market sentiment in recent weeks.
Andrew Hulme, NAMA chairman, commented: ‘Fleet and dealer part-exchange sales account for around 90% of the total UK auction business. Here, prices have been falling by 4% in each of the last two months. This rate of fall was slightly greater than for the same point last year, but there is a feeling that the current supply is better balanced with the prevailing demand. Given that there is not going to be any influx of cars into the market until the middle of September, the prediction is that prices will not deteriorate much further between now and the end of August.’For more of the latest industry news, click here.