UK used car market starts 2025 strongly despite economic uncertainty
According to the latest data from Auto Trader, the used car market has defied economic concerns and begun 2025 strongly.
Based on over 800,000 daily observations, Auto Trader’s Retail Price Index reveals that the average retail price of a used car (£16,774) remained flat in January compared to the previous month. This contrasts sharply with the 1.9% decline recorded in January 2024. With trade values currently exceeding retail prices, further price strengthening is anticipated as the market adjusts.
Used cars are selling at an unprecedented rate, taking an average of just 38 days to leave forecourts in January, three days faster than the same period last year and the fastest start to the year since 2019. This rapid turnover, however, may be affecting potential profit margins. Auto Trader’s data suggests that approximately 61,000 high-demand used cars are currently underpriced, representing over £24 million in missed revenue.
Despite broader economic uncertainties and a dip in official consumer confidence levels in January, car-buying confidence remains strong. A December study of 3,700 in-market car buyers on Auto Trader found that 57% felt more confident in their ability to finance their next car purchase, up from 47% a year prior. Nearly three-quarters of consumers still plan to buy a car within the next six months, consistent with last year’s figures.
Auto Trader remains optimistic about the used car market’s prospects for 2025, forecasting growth from approximately 7.61 million sales in 2024 to around 7.70 million in 2025.
“Following a very strong 2024, the used car market continues to show its huge resilience in the face of broader economic turbulence,” comments Richard Walker, Auto Trader’s Data & Insights Director. “The year ahead will hold some unique challenges for the industry, but our data should offer some optimism for 2025 – demand is robust, prices are stable, and cars are leaving forecourts at a record pace.”
Top 10 used car price growth (all fuel types) | January 2025 vs January 2024 like-for-like
| Ranks | Make | Model | Jan 25 Average Asking Price |
Price Change (YoY) | Price Change (MoM) |
| 1 | BMW | X5 | £39,377 | 10.6% | 0.2% |
| 2 | Porsche | 718 Cayman | £59,248 | 8.3% | 3.9% |
| 3 | Volkswagen | Touareg | £29,029 | 7.3% | 0.4% |
| 4 | BMW | M4 | £39,495 | 6.0% | 2.0% |
| 5 | Mazda | MX-5 | £10,121 | 5.5% | 1.7% |
| 6 | Toyota | C-HR | £20,954 | 5.5% | 1.3% |
| 7 | BMW | X4 | £29,260 | 5.4% | -1.1% |
| 8 | MINI | Countryman | £18,293 | 5.4% | -0.4% |
| 9 | Suzuki | Swift | £9,601 | 5.1% | 0.1% |
| 10 | SKODA | Karoq | £19,948 | 4.7% | 0.1% |
Top 10 used car price contraction (all fuel types) | January 2025 vs January 2024 like for like
| Ranks | Make | Model | Jan 25 Averag Asking Price |
Price Change (YoY) | Price Change (MoM) |
| 10 | Nissan | Leaf | £11,459 | -13.6% | -1.7% |
| 9 | Hyundai | ix20 | £6,115 | -14.3% | -1.6% |
| 8 | Hyundai | i40 | £5,791 | -14.4% | -0.2% |
| 7 | Polestar | Polestar 2 | £24,791 | -14.5% | -0.5% |
| 6 | Ford | B-Max | £5,293 | -15.0% | 0.4% |
| 5 | Tesla | Model Y | £31,588 | -16.0% | 0.2% |
| 4 | DS AUTOMOBILES | DS 3 | £6,631 | -16.8% | -2.8% |
| 3 | Ford | Grand C-Max | £6,335 | -17.1% | -0.8% |
| 2 | BMW | iX1 | £35,986 | -17.5% | -0.3% |
| 1 | Vauxhall | Zafira Tourer | £6,097 | -18.7% | -0.7% |
