Average used car values rose by 4.1% during December, according to BCA.
The auction firm reports that the average value rose by £324 to £8,310, while sold vehicle volumes also rose, with a notable increase in demand as lockdown restrictions eased ahead of Christmas.
BCA COO for UK remarketing Stuart Pearson said: “The year ended strongly with average used car values rising and strong demand from buyers into the festive period.
“2020 was extremely challenging for everybody and, thanks to the close working partnership between our people, our customers and suppliers, we were able to move forward together and finish the year in a significantly better place than might have been expected.”
Pearson added that the market in early January had been surprisingly resilient, given the introduction of a third Covid-19 lockdown.
He said: “Prices remain stable across most sectors which suggests supply and demand are well balanced and the used vehicle sector is adapting to the fast-moving trading conditions.
“A recent survey of our professional buyers suggests that the vast majority of dealers are using click and collect and home deliveries to meet the needs of their retail customers, ensuring that demand is maintained in the wholesale sector.”
