UK car market set for strongest year since before Covid pandemic

Yahoo

29-07-2025

The UK's car market is on track for its strongest year since before the coronavirus pandemic, according to new analysis.
Online vehicle marketplace Auto Trader said it expects two million new and 7.75 million used cars to be sold across the whole of 2025, as older, budget-friendly models drive growth.
The total of 9.75 million would be a 3% increase on last year's figure of 9.5 million (1.9 million new and 7.6 million used).
It would also be the highest annual total since 10.3 million (2.4 million new and 7.9 million used) in 2019, before the virus crisis began.
Auto Trader said there was a surge in demand for used cars aged five to 10 years.
It predicted that by the end of the year there will be 10.1 million of these cars on UK roads, up from 8.7 million in 2017.
Vehicles at least a decade old are expected to make up 26% of the 32.8 million cars licensed in the UK, compared with 23% in 2019.
Auto Trader said disruption to new car production caused by the pandemic means there is a shortage of cars aged three to five years.
Ian Plummer, Auto Trader commercial director, said: 'UK car sales are on course to reach their highest level for six years, which is testament to the underlying strength of consumer demand.
'We've seen more than half a billion visits to our website in the first half of this year – an all-time high.
'What's particularly striking is the surge in appetite for older, budget-friendly vehicles – especially those aged five to 10 years – which are now the fastest-selling part of the market.
'The Covid effect is still playing through the UK car market and will continue to do so for years to come.'
Nearly a third of all Auto Trader advert views are for cars priced under £7,000.
Sales of used cars in 2025 are up 2% year-on-year but the full-year for new car registrations is forecast to be flat.