Auto Trader said the number of vehicles listed on its online vehicle marketplace for under £11,000 has fallen by 46% since January 2016, to 264,000
Youngsters are finding it increasingly difficult to enter the used car market due to a shortage of affordable options, according to new figures.
Auto Trader has reported a 46% drop in vehicles listed on its online marketplace for under £11,000 since January 2016, now standing at 264,000. A survey commissioned by the company, involving 6,000 participants, revealed that nearly three out of five (58%) drivers aged 17-24 who had made a purchase, bought their last car within this price range.
The reduction in available vehicles at this price point is attributed by Auto Trader to the impact of the Covid-19 pandemic on new car supply, which has added to inflationary pressure on the used car market. The company also highlighted insurance costs as another hurdle for young drivers. Recent data from MoneySuperMarket shows that the average cost of a policy for 17 year olds was 67% higher in April compared to the same month last year.
Around 706,000 people in England aged 17-20 held a full driving licence in 2022, according to Department for Transport figures. Erin Baker, Auto Trader’s editorial director, commented: “Car ownership and usage is vital to young people, but cost remains a clear barrier.”
She added: “They also show higher levels of interest in electric cars but are less likely to be able to afford them, thanks to stock shortages caused by Covid. Those dynamics are only likely to be addressed over time.”
