The United Kingdom's secondhand car market is anticipated to witness substantial expansion in 2024, driven by an increase in car supply and changing buyer needs. Following a challenging 2023, where new car supply constraints due to chip shortages and post-pandemic interruptions influenced the market, 2024 is expected to be a period of revival and normalization (Grant Thornton UK LLP) (EY US).
With producers increasing output to fulfill need and maintain plant utilization levels, the surge automotive of new automobiles is projected to enhance the used car market as well. Sales of pre-owned vehicles are expected to hit 7.3 million vehicles in 2024, rising from an projected 7.05 million units in 2023. This increase, nonetheless, still lags behind pre-pandemic levels of 7.9 million units in 2019 (Grant Thornton UK LLP).
One of the key trends to watch is the pricing volatility of BEVs (BEVs) in the secondhand market. As technology improvements persist and government policies change, the market for pre-owned BEVs may experience significant fluctuations. The overall outlook remains cautiously optimistic, with the sector steadily acclimating to current economic conditions and buyer needs (Grant Thornton UK LLP).
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