Fleet News

Nearly-new car values could be hit by Competition Commission report

THE Competition Commission's report into new car pricing will have little downward effect on an already depressed used car market, according to Glass's Guide and CAP Motor Research - although nearly-new car prices could be hit. Pre-registered cars laundered through brokers and small leasing companies have been perceived as better value for money compared with buying new, and there has been a general retail belief that these cars would better resist immediate depreciation following any falls in new cars prices.

But Adrian Rushmore, Glass's chief car editor, said if there was greater transparency of new car prices, it would be easier for customers to weigh up the merits of buying new rather than nearly new. He added: 'In many instances, the asking prices of W registration cars may be exposed as being too expensive.'

Ramesh Notra, CAP Motor Research senior economist, agreed the report would have little effect on the used car market. But he added: 'There may be an exception with vehicles which retain a large proportion of their list price such as low volume sports cars, which may see a reduction if their list price is reduced.'

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