Drivers paying over the odds for used cars with falsified mileage

Odometer fraud is costing UK consumers an estimated £1.2 billion each year, with buyers paying, on average, 48.8% more for used cars with falsified mileage, new research suggests.

The analysis, conducted by vehicle history checking service CarVertical, puts the total cost across 17 European countries at £4.5bn a year.

However, with many cases going undetected, it suggests that the actual figure could be significantly higher.

Matas Buzelis, automotive market specialist at CarVertical, said: “Proving that a car’s mileage has been falsified is extremely difficult.

“Without digitised records and data sharing between countries, odometer fraud remains easy to hide.

“Historical mileage records are essential for confirming the true condition of a used vehicle.”

In the UK, the company says that a car listed for £20,000 with falsified mileage might only be worth £10,000, with the higher the car’s price, the bigger the potential loss.

Buzelis adds: “It’s no secret that buyers prefer cars with lower mileage. Unfortunately, this makes them prime targets for fraud.

“When the mileage is rolled back, it creates the illusion of a better car condition than it is. Fraudsters target both the economy and premium vehicles.”

The study also revealed that while odometer fraud is a widespread issue, its financial impact is greater in Western Europe compared with Eastern European countries.

Drivers in the UK, France, Germany, and Italy face the largest financial losses due to mileage fraud. Meanwhile, the impact is lower for buyers in Ukraine, Serbia, and Romania.

The difference comes down to a few key factors, says CarVertical. Western Europe has more cars on the road, so losses from mileage fraud add up faster.

Meanwhile, buyers in Eastern Europe tend to care less about mileage, partly due to different living costs and car ownership expectations.

By evaluating the number of cars checked by CarVertical, their average market value, and the fraud rate in each country, the study estimates that France loses £1bn annually due to odometer tampering, Germany loses £900 million, and Italy around £400m.

While governments acknowledge the problem, specific initiatives to address it remain limited.

Buzelis warned: “In many cases, if the mileage was falsified, the car may also have other hidden issues, and this is extremely important in the context of global decision makers lacking leadership in buyers’ protection.”

The CarVertical study analysed data from vehicle history reports purchased by the company’s customers, the average price of used cars, the share of vehicles with falsified mileage, and the financial impact of odometer fraud across 17 European countries.

The percentage of odometer fraud impact was calculated by analysing vehicle history reports purchased by the company’s customers in 2024 and by counting the value changes of used cars manufactured from 2005 to 2024 with and without odometer falsification.

The total amount is calculated depending on the market’s annual used car transactions and the average price of a used car.