Better economic conditions would be biggest boost for used car sales in 2025, say dealers

27 Jan 2025

Almost two-thirds of dealers (62%) say an improved economy would provide the biggest boost for used car sales in 2025, new research indicates.

  • Almost two thirds of dealers (62%) say a general improvement in the economy would lift 2025’s used car market
  • 50% would like to see direct support for used electric car buyers and 48% an increase in consumer confidence
  • A revised Zero Emissions Vehicle Mandate (38%) and better stock supply (36%) would also be welcome, shows January’s Startline Used Car Tracker

 

Almost two-thirds of dealers (62%) say an improved economy would provide the biggest boost for used car sales in 2025, new research indicates.

 

January’s Startline Used Car Tracker also shows that 50% would like to see direct government support for used electric vehicle (EV) buyers, 48% an improvement in consumer confidence, and 38% a loosening of the Zero Emissions Vehicle Mandate targets.

 

Also, 36% want better stock supply, 31% improved motor finance availability, 19% a reduction in business overheads such as rates and staffing, and 16% better availability of skilled staff.

 

Paul Burgess, CEO at Startline Motor Finance, said: “Pretty much every indicator showed that there was a downturn in both the general economy and consumer confidence towards the end of 2024, and that appears to have weighed heavily on these results.

 

“Dealers seem concerned that this negative mood could be a drag on the used car market and really want to see some form of uptick for the New Year that changes the outlook.

 

“Other factors mentioned in the research are perhaps unsurprising. Concern over stock availability is now really a given, as are concerns over skilled staffing and premises costs. The Zero Emissions Vehicle Mandate is also very much a live subject and we hope to see the current Government consultation have a positive outcome, which is something that could at least in part serve to lift market sentiment.”

 

The Startline Used Car Tracker is compiled monthly for Startline Motor Finance by APD Global Research, well-known in the motor industry for their business intelligence reporting and customer experience programs. This time, 329 consumers and 58 dealers were questioned.