Used LCV sold volumes reached the highest point on record during July, amid a decline in the average sale price, according to BCA.
The remarketing company said the average price fell from £7,845 in June to £7,410 last month, which also represented a £1,638 decline compared with July 2023.
BCA said values had been under pressure since the second quarter of the year due to a large supply of standard model vans. It said many of these were a hangover from the Covid-19 pandemic, when manufacturers were forced to produce base specmodels due to parts supply bottlenecks, and orders were rushed through to meet demand from the contract hire and rental markets.
BCA UK COO Stuart Pearson said: “The LCV market has been experiencing a fairly significant pricing realignment over the last few months, and there’s likely still greater movements to come.
“Whilst there isn’t any shortage of buyer interest, the sellers that are taking a very pragmatic approach to investing in the right level of preparation, along with valuing vehicles realistically, are achieving the best results.
“With many base spec vehicles in the system, buyers will inevitably focus their attention on those that can be turned the fastest and the delta between the best and worst condition is likely to increase further.
“We continue to work very closely with our customers to ensure that we’re presenting them with live market pricing to support their decision making, because the reality is that by the mid-point of the month, the value of an average LCV has potentially changed significantly from the start.
“While this may seem like challenging news, demand for LCV stock remains strong and buyer engagement has been at record levels at BCA this year. The guide price move into August certainly injected some realism into the market, but currently there’s still the expectation of further moves which should bring sellers and buyers closer together in their expectations.“
