UK used car values defied historical seasonal slowdowns for the third consecutive month, powered by a surging demand for electric vehicles.
Values for used battery electric vehicles (BEVs) have climbed for the first time in eight months, new data from Solera Cap HPI shows.
The zero-emission vehicle (ZEV) mandate is set to continue as the UK’s biggest risk to future EV residual values, according to Indicata.
The UK car market’s transition towards electrification accelerated in 2025, but the shift placed significant pressure on used EV values while creating opportunities for new OEM entrant, new data shows.
2025 was a year of two halves for used EV pricing, with average EV prices dropping by over £2,000 before rising in the second half of the year.
2025 marked a “disappointing” year for the used car industry with hybrids the only fuel type where prices rose, while diesel, petrol and EVs all experienced a price fall.
This week’s introduction of new car grants has now made government support for the used electric car sector now “essential”, the Vehicle Remarketing Association (VRA) says.
Electric vehicles under 24 months are retaining only 47% of their original cost new when sold through trade, as heavy discounts on new EVs drive down values in the used market.
The UK’s used car market will see a flat year for volumes across 2025 but used electric vehicle prices are set to stabilise, Cox Automotive has predicted.
Used electric car values rose 1% at the three-year mark in September, according to new figures from Cap HPI.
The Government must take action now to avoid further volatility in used electric vehicle values, the BVRLA has warned.
Pressure on carmakers to hit ZEV mandate targets will create an “unrealistic and unnatural market” that will impact future residual values, according to Cox Automotive.
The used EV market remains highly volatile, showing a big slump in average values but growth for younger models.
The used car market remained stable in March although values for battery electric vehicles (BEVs) saw a further fall, Cap HPI has reported.
Used EV prices continue to show signs of levelling off, according to the latest data from Indicata.