“Following what could be described as an uncertain political and economic climate, 2016 marked a strong performance from the UK motor auction sector”, commented Louise Wallis, Head of The National Association of Motor Auctions (NAMA).
2016 saw record used car sales of 7.7 million and this translated into a very busy year for auctions, as dealers bought cars to fill forecourts to meet consumer demands.
NAMA saw an increase in auction sale values of 3.6% over the year, with the late and low sector performing particularly well with a 4.2% increase to £13, 049.
Wallis continued, “Although the average sales value in December was up by 2% from November to £5.477 in 2016, there is still speculation that activity in 2017 will become more challenging.
“Currently the economy continues to do well with record low unemployment, and strong GDP growth, although inflation is beginning to rise. This has encouraged both consumers and businesses to spend - however, any changes to this over the coming months could have an impact on the used car market.
“We will continue to urge the Government to ensure that the economy remains buoyant in the wake of political uncertainty from the Brexit it vote.
“We look forward to seeing how 2017 develops, and hope it will be another strong and positive year for auctions.”
NOTES FOR EDITORS:
About the RMI
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.