Did the Autumn Budget hit the UK used car market? Sales down 23%.

Marketcheck, the most significant source of data on the used UK car market, has today released an analysis outlining the stark drop in sales within the used car market over November and December, compared to September and October.

The Autumn Budget took place on the 30th of October. The sum of sold volume in September and October equalled 681,293, this is in comparison to 524,476 in November and December – a drop of 23.02%.

This compares to a drop of 8.29% over the same time period in 2023. Alastair Campbell, Marketcheck UK, commented: “The significant downturn in the UK’s used car market this year is deeply concerning, with sales decreasing by 23.02% in the last two months.

“This sharp decline starkly contrasts with the modest 8.29% drop experienced during the same period in 2023, indicating a real shift and does not reflect usual annual dynamics. Factors contributing to this downturn may stem from the broader impact of the Autumn Budget – the implications of these changes have rippled through the economy, impacting consumer confidence and spending power.

“The decrease in sales volumes from 681,293 units in September and October to just 524,476 in November and December suggests a contraction in the market. Not the usual yearly fluctuations. 

“The current trend could signal underlying economic challenges that go beyond the automotive industry, affecting consumer goods and services across the board. If this trend continues, we could see a recalibration of pricing strategies, inventory management, and a significant shift in consumer behaviour.

“It is essential for companies across the industry to understand the full scope of these changes. At Marketcheck we are monitoring these trends and providing our clients with the insights needed to navigate this challenging period.”