LCV values have continued their strong start to the year, remaining robust on the back of sustained buyer demand.
Values averaged £9,851 at BCA in February 2023, down less than 1% or £87, while sold volumes improved compared to January. Performance against price guides improved sharply to 105.7%, a rise of 3 percentage points, month on month.
BCA’s weekly valuation reports show that average values were relatively steady throughout February, following a steep climb earlier in the year, suggesting that supply and demand are currently well balanced.
Latest reports suggest business confidence has improved amongst SMEs, potentially driving demand within the used LCV sector.
Stuart Pearson, BCA COO UK, commented: “Following a good start for the used LCV sector in January, we have experienced more of the same in February with robust price performance and rising volumes of vehicles sold. Also, with the economic landscape starting to look a little brighter and improved confidence levels amongst small businesses, we expect used LCV values to remain fairly resilient for some time.”
UK light commercial vehicle registrations grew for the second consecutive month in February, rising to 17,540 units. But Pearson added that it will be a while before we see any significant volume of younger vans reaching the used market.
He continued: “We’re also entering the third anniversary period of the first Covid lockdown when there was minimal activity in the light commercial sector for a few months, and that means a potential dearth of three-year-old stock until the summer. Taking all these factors into account, it is likely the marketplace for LCVs will remain competitive for some months to come.”
