electric or LPG vehicles in the fleet and lease sector are growing
in popularity thanks to the credit crunch and rising fuel costs,
a BCA report has found.
In the auction house’s examination of the relative price of
petrol, diesel and alternative powered cars, it found that values
for LPG have consistently outperformed guide prices, often by a
considerable margin. A slow-down in April where values fell
slightly below the 100 per cent mark against CAPClean benchmark figures was
followed by a growth to 115 per cent in June.
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Price performance of the fuel types versus CAP Clean suggests
growing demand for alternative sources of power, despite the
vehicles generally being older and having higher mileage at the
time of sale. An already-high demand for LPG cars is expected to
grow, meaning that their relative scarcity at auction is keeping
values far higher than the market norm.
In contrast, performance against CAP figures for used diesel and
petrol have been in decline since the start of the year. In June,
the price for diesel was down 3.5 points, with petrol down 3 points
since January.
BCA communications director Tony Gannon said: “There can be little
doubt this is being driven by the credit crunch and rising fuel
prices which are persuading more motorists to try LPG or hybrid
electric, perhaps for the first time.”
Motor Finance Issue: 45 – July 08
by Nancy
Smallwood , Journalist
Published for the web: August 7 08 11:37
Last Updated: August 13 08 11:42
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