2021 used fleet prices rose by 40.8% as market suffered from a 140,000 car shortage reports Aston Barclay
Posted 19 January 2022
Used fleet car prices rose by 40.8% (£5,122) in 2021 to an average of £15,533 according to Aston Barclay’s latest used car insights report.
The main cause of this record rise was a consistent shortage of ex-fleet cars as replacement cycles were extended to cope with restricted new car supplies caused by the global semiconductor crisis.
Aston Barclay estimates the market was short of nearly 140,000 ex-fleet used cars in 2021 with the current supply situation not expected to change until the back end of 2022.
“Some fleets are now on their second round of contract extensions as new car supplies have prevented them from de-fleeting their current vehicles,” said Martin Potter, Aston Barclay’s MD-Customer.
“Used fleet prices settled down in December, but they still rose across Q4 21 by £894.
“When ex-fleet cars hit the used market in volume again, their average age is likely to increase above the current 42 months which the industry has to come to terms with. Gone are the days of the 36-month-old fleet replacement cycle,” said Potter.
Analysing its Q4 2021 auction trends, BEV sales doubled as prices rose by £3,529 (15.7%) to £25,883, but volumes still accounted for just 0.5% of total sales. Hybrid volumes grew from 3-5% and prices rose by £1,584 (9.3%) to £18,542.
Used diesel volumes rose 2.5% to 48.4% of total sales in Q4 reinforcing their continued importance to remarketing managers. They will be pleased to see diesel prices rise again in Q4 2021 by £621 (7.5%) to £8,843.
The used van market has also settled down to its ‘new normal’ after six months at £8,320, but some van production challenges are worse than cars so prices may rise again in 2022.
Fleets should remember that in Q1 2021 Aston Barclay’s average van price was £4,923. Two years later values had risen by 69% (£3,397). The average age of an ex-fleet van has also increased to nearly 70 months as fleets extend replacement cycles due to new van supply shortages.