UK tops European markets for used EV retail stability
The retail used BEV sector within the UK stays essentially the most secure of the 13 main European international locations in INDICATA’s month-to-month Market Watch report.
The report reveals used BEV gross sales taking a 4.8% share of the UK market whereas zero emission vehicles accounted for five.1% of used automotive inventory sitting on seller forecourts, which reveals retail provide and demand are at the moment effectively matched.
Whereas this provide determine doesn’t think about BEVs sitting within the UK wholesale promote it bodes effectively for a more healthy used EV market shifting into 2025 than skilled over the previous two years.
Solely Denmark comes near this degree of stability with BEVs taking a 38.2% share of gross sales whereas boasting a 31.5% share of seller inventory whereas most European international locations are confronted with a serious overstocking of used BEVs.
In the meantime, UK retail BEV costs rose once more between October and November by 0.7% in line with INDICATA knowledge, and by 1.4% between August and November.
That is the primary actual signal of used BEV value stability in 2024.
This value consistency under no circumstances makes up for a 43% discount in UK BEV retail costs and the following residual worth losses skilled since January 2023, but it surely does present a glimmer of hope for these underwriting future residual values.
Dean Merritt, INDICATA UK head of gross sales, mentioned: “Residual worth setters who form engaging leasing charges will play a serious half in serving to OEMs attain subsequent yr’s ZEV mandate goal the place 28% of recent vehicles have to be battery electrical.
“Whereas they won’t need to be too optimistic with residual values, new BEV reductions are prone to contribute to extra inexpensive charges for all BEVs.
“The ZEV mandate will proceed to have a major affect on the used automotive market over the approaching years and can push extra BEVs into the used automotive market as new gross sales improve. If the mix of provide and demand continues in its present vein, we will see the used BEV market offering extra stability throughout 2025,” he added.
