Average used car values hit seven month high

Used car average values made a 1.9% month-on-month increase in July, nearing the £8,000 mark last reached in December 2014, according to the latest data from vehicle marketplace BCA.

Average values of £7,706 in July 2015 is up by 2.6% on July 2014's £7,706, as prices of a car sold by BCA continue to rise.

The increase of £154 over the month wasn't expected due to the annual halt that occurs once the summer holiday period begins.

Simon Henstock, BCA's UK Operations Director commented: "Supply and demand remained well balanced in July despite the typical summer slowdown.

"Sales have been well attended throughout our network during the month as well as there being strong online bidding."

The date also shows that average values for Part-Exchange vehicles equalled £4,268, the fourth highest ever recorded by BCA, while Nearly New vehicles reached their highest average value  since January at £21,250, however, BCA state that model mix has a significant effect in this very low volume sector.