Used car sales see fastest growth since 2007
The latest Experian figures reveal good news for used car dealers, as sales of used cars are rising at the fastest rate since before the financial crash in 2007.
In the final quarter of 2015 used car sales in Britain increased 7% to 1.63 million. The region with the most rapid growth was the North East, where sales rose 8.3% year-on-year.
According to Motor Trader all areas of Britain saw an increase, although in Scotland growth was slower than in the rest of the country, with a rate of only 4.1%.
The growth in sales is primarily focused on the newer end of the used car market. Sales of cars aged up to three years rose by 11% during the period, while sales of cars aged between six and nine years fell by 5.7%.
Andrew Ballard, principal consultant at Experian, said: "New car registrations have been buoyant for the last four years so it is natural to now see this reflected in used car sales."
Ballard continued: "Vehicles which were sold as new cars in the years since 2012 are coming back to motor traders as used cars within the typical change cycle. In some cases, people are being tempted and finding it viable to trade their car in before their finance deal reaches maturity."
Finance packages and manufacturer incentives such as personal contract purchases have brought in attractive monthly price points for new cars, helping to make them more affordable.
The Ford Fiesta was the most commonly sold used car in both the under three years and three to six year age bracket. The Vauxhall Corsa was most popular among cars aged between six and nine years, while the Ford Focus saw most demand among cars aged over nine years.