MANUFACTURERS are pushing up running costs for motorcycles because erratic new pricing is damaging used bike prices.

Rider bonuses and rebates on new bikes make it difficult to calculate the true purchase price of motorbikes, leading buyers at auction to mark the price down to be certain of being able to sell the vehicle on.

Rob Hobson, editor of CAP Green Book, the benchmark for used bike prices, said: 'The problem with constantly changing new prices is that the customer, never mind the dealer, is destabilised. Both always face the question – when is the right time to buy?

'We have heard from dealers who have been told by customers they would never buy another new bike, because some have been stung quite heavily in the pocket by sudden price cuts after they have bought their machine.'

He added that anything that damages overall confidence in the market was not healthy for used values. Hobson said: 'New price instability continues to pose a significant problem for the long-term health of the market.'