The used car market maintained its robust, year-to-date positive trajectory through June, presenting significant equity opportunities and risk mitigation for the corporate fleet and leasing sectors, according to the latest retail data from the vehicle intelligence experts at Cazana.

The three-year-old car market successfully weathered seasonal consumer distractions, pushing average retail values up by 0.2% (approximately £50).

While macro-environmental factors, such as hot weather and the World Cup distraction, can  suppress footfall, the used car sector demonstrated noted strength. Wholesale trade values softened only slightly over the month, providing a highly stable environment for fleet operators managing asset disposals and contract-hire risk.

For the third month running, EVs emerged as the dominant growth story in the retail world, injecting vital structural confidence into fleet risk profiles. At the critical three-year defleet benchmark, they rose by an impressive 2% in June, compounding a near 5% price surge over the last 90 days. An aggressive pace of forecourt transactions supports this valuation growth.

EV models are selling rapidly, with the Hyundai Kona, Tesla Model 3 and Volkswagen ID.3 all averaging an incredibly swift 15 to 16 days to sell. Interestingly, diesel vehicles logged a surprising 0.5% retail value increase, while petrol and hybrid vehicle pricing stayed relatively level.

Derren Martin, automotive expert at Cazana, said: “The used car market in June stabilised after a particularly strong period, which is very positive given summer consumer distractions. The data provides vital structural confidence for managers controlling defleet timelines. The near 5% rise in three-year-old EV values over the last 90 days confirms that the used car market has found a stable, highly receptive floor for electrified assets.

“Currently, fleet managers can confidently cycle out ageing EVs without fear of the residual-value cliffs that plagued previous cycles.

“Hatchbacks hit the sweet spot over the last month, maintaining their position as a solid choice for dealers to fill their forecourts with. Moving into the summer, there is little to suggest anything other than a continued, stable market, with EVs continuing to be popular.”

Cazana’s daily tracked data across more than 12,000 sources revealed some key trends in core corporate stock, including: while 3-year-old stock remained buoyant, nearly new 1-year-old retail values felt minor pressure, dropping by approximately 1% (c. £ 300).

Hatchbacks led all body styles with a 1% price rise. In contrast, corporate-heavy estates and saloons, which previously recorded massive 5% and 7% spikes over the spring, steadied, dropping by a minor 0.2% and 0.4% respectively. This minor pause indicates that a structural shortage of traditional executive silhouettes persists, allowing operators remarketing high-quality corporate shapes to continue commanding peak values.

Brands such as Renault, Škoda and Volvo established themselves as the month’s strongest, with tracking up around 1% alongside premium climber BMW. Three-year-old Volvos have increased their retail values by 7% over the last three months, marking a phenomenal U-turn from last year’s falling values. Land Rover (-2.3%) and Mercedes-Benz (-1.4%) registered as the weakest brand performers.

Martin added: “The data demonstrates that the market is hungry for electric vehicles, meaning well-maintained corporate defleet units are entering an environment where consumer demand is outstripping supply.”

Used electric car market at tipping point, VRA AGM hears

Used electric cars are at a tipping point where both consumer interest and values are increasing rapidly, delegates heard at the Annual General Meeting (AGM) of the Vehicle Remarketing Association (VRA).

Fraser Brown, director at specialist used electric vehicle dealer Browns of Richmond and motor retail consultancy Motorvise, said the market had grown by 32% in the first quarter of 2026 on top of a 45% increase in the previous 12 months.

“Recent increases in petrol and diesel prices have definitely been a factor. We can show potential buyers that, as long as there is space at home for a charger, they should save a typical £154 a month on a two- to three-year-old small car by going electric.

“Buyers come to us in a state we describe as ‘EV curious,’ and we embark on a process of education about what they can expect from electric car ownership. By their third conversation, we have generally won them over – and those that are the biggest sceptics initially often become the biggest advocates.”

His business had grown from retailing around 20 units a month at the start of the year to 130 now and there were plans to open several further sites across the UK.

“We concentrate on EVs that we know provide the best deal for customers and we are the country’s biggest retailer of used Teslas but also sell many BMWs, Kias and indeed, almost any electric car with a full service history and battery health check.

“Our business model is based on a fast turnaround of 19 days, which is possible because of our processes and the fact that consumer interest is so high. We very much believe that, even though EV supply into the used market is set to increase rapidly, demand will continue to outstrip the available stock and prices will rise accordingly.”

Brown’s optimism was supported by Stuart Pearson, COO at BCA, which hosted the meeting at its remarketing centre in Perry Barr, Birmingham.

“We’ve seen first-time auction conversion rates increase from around 70% to more than 90% in recent months. Whilst Teslas account for around half of this volume, demand is now strong across most electric vehicles and it feels as though the market has turned a corner.

“Even in the van sector, which has been much slower to electrify than cars, there are signs of growth. Whilst EVs account for only a small proportion of our overall light commercial vehicle sales, acceptance among potential buyers is growing. As more customers recognise that a used electric van can be a practical option when its range and payload meet their requirements, they are increasingly attracted by the highly competitive running costs it can deliver.”

Motor finance expert Graham Filmer of Rocket Associates explained that lending for used electric vehicles was now nearing normalisation, reflecting this market growth.

“Initially, financing used electric cars was seen as an unwelcome risk, simply because they were a new phenomenon and there was little data available. That situation has changed dramatically and, although there may be stipulations such as a battery health check, lenders now view EVs much like any other car.

“The only exceptions are again where there are unknown factors, such as financing vehicles made by new entrant Chinese manufacturers. The issue here is the difficulty of predicting which companies will still be present in the UK in the medium term. The view is that the market isn’t big enough to accommodate them all.”

Kevin Lamb from Alvarez and Marsal, a global consultancy specialising in turnaround management which works with many UK dealers, said some smaller franchise motor retailers may suffer from not embracing this used EV surge.

“Some franchise dealers often had their fingers burnt from the residual value collapse that occurred when electric cars first entered the used market and are not keen to repeat the experience. Also, focus has been on retailing new EV sales because of the Zero Emissions Vehicle Mandate and combined margins that are frequently thin.

“Moving decisively towards the used electric car market can appear as both a risk and an area that requires investment in areas such as training sales staff. While there is a strong temptation to stay with what they know the used electric car market represents some real opportunities and failing to grasp may lead to some financial stress.”

The meeting attracted over 50 delegates in person and more online, and VRA chair Philip Nothard emphasised that the event cements the organisation’s role as an essential hub for industry insights.

“Today’s discussion, where a common thread emerged about the relatively sudden momentum seen over recent months in the used EV market, is a good example. Our speakers presented a comprehensive picture of an important development.

“This was the best-attended VRA AGM ever, reflecting our ever-more prominent role in the sector.”