Light Commercial Vehicle (LVC) values averaged £9,851 at British Car Auctions (BCA) in February 2023, with sustained buyer demand keeping values firm as a strong start to the year continues.
Sold volumes improved compared to January with values slightly down on last month at £9,851. Performance against price guides improved sharply to 105.7%, a rise of 3 percentage points, month on month.
With a slowly improving economic outlook, the latest reports suggest business confidence has improved amongst SMEs and this is likely to be helping to drive demand within the used LCV sector.
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.
Stuart Pearson, BCA COO UK said: “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.”
He added “While there has been an improving picture in the new LCV sector for a number of months, it will be some time before we see any significant volume of younger vans reaching the used market.
“We are 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.”