Downturn ‘could reduce second-hand car availability’Friday, February 26, 2010 17:33
The second-hand car market could experience a shortage of one or two-year old vehicles due to the prolonged downturn, an expert has claimed.
Glass’s Guide has suggested that the low level of new car sales could impact on the used market throughout this year, as was the case following the recession of the early 1990s.
Adrian Rushmore, managing editor of the guide, predicted that there will be a repeat, although three to five-year-old vehicles will remain in reasonable supply.
He said: "When new car sales remain depressed for a succession of years, the issue becomes more acute because future used car supply reduces still further."
Mr Rushmore added that the popularity of the scrappage scheme is likely to have further reduced the number of part exchanged cars available from 2012, which could see more people buying recovered car salvage vehicles instead.
Of those buying used vehicles, many are expected to be unaffected by the recent Toyota recall.
Research by Warranty Direct found that three quarters of drivers have not changed their opinion on the manufacturer’s reliability since the onset of the problems.