Cox Automotive UK has reported strong price rises in the retail and wholesale used car markets in October.

Motors.co.uk, the retail arm of the group, saw the average selling price of its vehicles rise 8.9% year-on-year in October, to £12,714, its highest in 12 months.

By segment, prestige brands at Motors.co.uk saw a 1.6% increase in sales value, while volume brands rose 1%.

The stocking time for SUVs fell by two days, and days to sale fell by four days, driven by seasonal demand.

Motors.co.uk recorded increased demand for electric vehicles, with listings increasing 15.5% from September, and average selling prices rising by 5.5%.

Dermot Kelleher, director of marketing and business intelligence at Motors.co.uk, said: “The rise in average selling prices in the retail market is a positive sign for the automotive sector as a whole, and underlines robust consumer confidence.”

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By GlobalData

Manheim, the wholesale arm of the group, saw average selling prices increase by 1.3% from October 2015, to reach £5,910.

Compared to September 2016, this figure was an increase of 7%.

The average selling prices of part-exchange stock also increased, up 4.2% from its September value to £3,842.

The value of ex-fleet models also rose, experiencing a 6.8% increase in value to £9,915, and prestige brands increased their selling price by 5.6%, while that of volume brands rose by 3.3%.

At Manheim both types of cars experienced lower stocking days, recording at their lowest levels for 18 months.

By engine type, diesel vehicles saw the largest increase in values, up 6.3% from September, though, as at Motors.co.uk, prices were stable year-on-year.

Darren Wiseman, head of valuations at Cox Automotive UK, said: “While October typically sees some softening in prices, we delivered strong results for our auction customers and defied some market expectations, which is no doubt in part down to our significant investment in improving operational efficiencies.”