20% increase in used car values

Since the beginning of 2009 motor traders are reporting an increase of 20% in the values of used cars. This is particularly timely news in advance of the number plate change at the start of September. You could find when trading your car in for a new vehicle that you are pleasantly surprised.

Although the new car market is beginning to recover with the introduction of the scrappage scheme, there has been a marked fall in the number of used vehicles coming into the market. According to many car dealers this has only served to increase prices even further. The current situation of demand outstripping supply of used vehicles is something that hasn’t been seen in many years.

Buyers looking for high trade in values are being encouraged to do their home work. If you have a vehicle that the car dealer wants and you know that dealers are running short of supplies, this puts you in a strong bargaining position. The current incentives in the form of the scrappage scheme for vehicles over 10 years old and higher trade in values for vehicles of a lesser age, have resulted in a buyers market if you have the purchasing power.

For car dealers there is also good news, with the introduction of our latest motor trade insurance products, you can get cheaper traders insurance with iQuote. Get an online motor trade quote with us and we will beat your existing premium.

Motor Traders asked if scrappage should continue

The vehicle scrappage scheme has had a positive impact on new vehicle sales in the UK. Although due to the investment required to fund the scheme in discounts there have been mixed reactions from manufacturers and car dealers. The Retail Motor Industry Federation is currently discussing with it’s members if they should lobby government to extend the scheme.

Currently the vehicle scrappage scheme is over half way through the allocated Government funding (£300m) and is expected to end before the allocated time of February 2010. There have already been over 150,000 orders for new vehicles under the UK scheme. There has been a significant footfall reported by car dealers in showrooms up and down the country, which more importantly has translated into increased vehicle sales. This has helped the Motor Trade during particularly difficult trading conditions.

The scrappage scheme has helped car dealers, iQuote Insurance are also able to assist dealers with cheaper Car Dealer Insurance. Get an online quote for your Motor Trader Insurance and you could save up to 40 percent off your traders policy.

UK car sales up for the first time in 2009

For the first time in 2009, the monthly car sales figures are up on the previous year. In July there was a 2 percent increase compared to figures for July last year. This is widely acknowledged to be a direct result of the governments vehicle scrappage scheme; which has made a more buoyant market for car dealers.

However within the coming months the money for the scrappage scheme is expected to run out. The motor trade is extremely keen for the scheme to continue, as this has provided much needed relief in the industry. The June figures were the smallest fall of the year, now with the increase in July it is hoped that a continue of the scheme will see the industry return to a healthier position.

Here at iQuote Insurance, we are keen to assist car dealers in the current economic conditions, so if you need traders insurance - we guarantee to beat your existing motor trade insurance quote. Visit us online and we can provide a motor trade policy for road risk insurance or combined motor trade.