As the new car market plummets to another all time low, there is better news in the second hand vehicle arena as auction houses are starting to see climbing figures.
The new car market is clearly not in a good way. Lay offs have been announced across the board at car firms, with major manufactures really struggling with production as demand is so low. The prestigious national icon Bentley have announced redundancies last month. This move is clear evidence that it is not only bottom level car manufacturers seeing dwindling sales. Official figures show a 30.9% fall in new car registrations according to the Society of Motor Manufactures in January as compared to the previous year. This drop is said to be the largest of its kind for over 30 years and the direction shows no signs of changing soon. 2012 has been the date suggested by many industry names that the new car market will see any increase in revenue.
On the flip side of the coin it seems to be that second hand car purchases are on the up, with 2 of the largest car auction names (BCA and Manheim) stating record numbers up since last year. BCA reports that vehicle prices have risen now for 3 months in a row, and yet more vans and cars were sold this January than in any previous year. Increases on last year have been pitted around the £300 mark on average.
Van leasing and car leasing is also on the up it seems as the major leasers are reporting improving numbers this year. This is likely being caused by people leasing their vehicles rather than committing to a buy during this ecomonic low point. Out of all the countries in the UK car leasing in Cardiff has seen the biggest boost.
Last september was the last time that wholesale van prices saw an increase, but Manheim, the auction giant stated that numbers where up by £140 this month suggesting this market is doing well. Yet another boost for 4 wheel-drive vehicles came this month which is will be the 6th month in a row.
