(Newswire.net — March 24, 2020) — It appears that UK motorists are preferring the used car market when the time comes for a new vehicle with used car sales rising for the first time in two years, but what are the reasons for this? The automotive industry has been in a slump for a long time (particularly the sale of new cars) so it is worth looking at reasons as to why used car sales have risen.
Economic Uncertainty
One of the primary reasons is the current economic uncertainty in the UK. Brexit has cast a great deal of uncertainty over what the future holds for the UK which means that people are reluctant to make any “big ticket” purchases. Despite this, motorists still have needs which means that they are looking to opt for more affordable and therefore safer options by shopping in the used car market where they can make enormous savings.
Financial Viability
Following this, it is much more affordable to shop in the used car market and you can get much more for your money. Depreciation is a major concern when you shop for a new vehicle and could see you lose thousands of pounds if you decide to sell the car even just a few years later. Additionally, you can secure bad credit finance if you have a low credit score which can make it easier to finance the purchase of a used car and spread the cost over the pre-agreed term.
Sustainability
There is increasing pressure for motorists to make the switch to an electric car ahead of the proposed 2035 ban on the sale of petrol and electric cars (recently brought forward from 2040). The problem with this is that electric cars can be incredibly expensive to purchase even when you consider the long-term savings that you can make. Fortunately, electric vehicles are starting to trickle down into the used car market.
Clean Air Zones
The introduction of Clean Air Zones around the UK where certain vehicles will have to pay a charge if they enter in a bid to improve air quality in these areas is also putting off motorists buying a new car. Therefore, more and more motorists are looking for used cars which are energy efficient.
As you can see, there are a few reasons why the used car market has seen a surge of late and this could continue with so much uncertainty still in the air for the foreseeable future.