According to latest Manheim data, month-on-month values for fleet were down for the fifth time this year with a 2.3% (£134) reduction to £5,791. Values in the fleet sector were down by 13.5% (£900) on this time last year, although both average age (by two months) and average mileage (by 3,166) increased over the period.

However, this drop, while significant, can be easily explained.

“With additional economic pressures to run fleet vehicles on longer contracts, it is inevitable that older vehicles with higher mileages will come through the auction halls,” explains Mike Pilkington, managing director, Manheim Remarketing.

“Although fleet values have fallen there has been some stock clearance activity going on with August prices also reflecting the seasonal lull.”

And with new car and van sales remaining low, it is likely that any seasonal falls now will be recovered as demand begins to once again exceed supply.

New car sales, which had been above the 2.5 million mark between 2002 and 2004, dropped by 6.4% to 1.99 million units last year, following an 11.3% fall in 2008.

New car sales were also boosted by the scrappage scheme, which helped fund an additional 285,000 new car deals. Without the scrappage, last year’s sales would have dropped by 19.8% to just 1.71 million cars.

This is comparable to the lowest annual volumes recorded in the last 20 years, when figures of 1.6 million units were recorded for 1991 and 1992.

New car sales to 25-plus fleets, which were not party to the scrappage scheme, fell by 20.5% to 882,415 units, while the sub-25 business sector also saw its new car volumes drop by 24.2% to 98,280 in 2009, from 129,573 units the previous year.

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