Fleet News

Used car values fall 4% after ‘market correction’

Fleet news logo

The used car market is undergoing a market correction, and the pace of change has accelerated in May, according to experts at Cap HPI.

The month to date has seen values drop by up to 4%, depending on the sector and age. The fall equates to an average of over £350 on a one-year-old car and over £300 on a three-year-old car.

Derren Martin, head of UK valuations at Cap HPI, said: “Some mainstream cars have had between £500 and £1,000 knocked off their value this month.

“The reasons for this are a realignment of values after some unprecedented strength in the market, which resulted in increasing or stable values in 2017/18.

“Cars will naturally deflate in value, but this hit seems to be all happening over a short period.

“The market is moving quickly, and I can’t think of a time in recent years where current data will have such an impact on profitability.”

The data also shows the lower medium sector at one year is down nearly 3% during May or £400 while the super mini sector at three years is down over 3.5% in May or £275.

Click here for remarketing best practice and procurement insight

Leave a comment for your chance to win £20 of John Lewis vouchers.

Every issue of Fleet News the editor picks his favourite comment from the past two weeks – get involved for your chance to appear in print and win!

Login to comment


  • Linda paeleman - 27/06/2019 07:29

    Thanks for the article. Do you think car valuation tool really helps you to get the approximate value of the car?

Related content

Compare costs of your company cars

Looking to acquire new vehicles? Check how much they'll cost to run with our Car Running Cost calculator.

What is your BIK car tax liability?

The Fleet News car tax calculator lets you work out tax costs for both employer and employee