Drop reported in LCV auction prices
However, the market remains well ahead of 2009, with average monthly values having hovered around the £4,500 mark all year. To put this into context, the £4,000 'price barrier' was breached for the first time in December 2009 and the market has not looked back since. Year-on-year comparisons show that May 2010 values are £871 (or 24%) ahead of the corresponding month last year. Duncan Ward, BCA's General Manager (Commercial Vehicles) commented: "There has been a subtle slowing of demand in the used LCV market over recent weeks. Following month after month of rising values and records being established, this may come as a surprise to market watchers, but we are now entering that period of the year where prices have tended to slow. "Despite what we saw last year, values cannot keep rising inexorably – common sense suggests eventually the market will revert to type and we will start to see the peaks and troughs of a typical annual cycle. We have been telling our customers for some time that we expect prices to stabilise in 2010 and they have – at a significantly improved level above 2009 values. It is likely the used LCV market values will experience a more traditional pattern this year."
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The average value of light commercial vehicles sold at auction in May fell by 4.8% compared to April, according to the BCA auction group. They averaged £4,466 in May, after reaching a record level of £4,693 across the board in April.
