The German government has introduced fresh incentives aimed at accelerating corporate electrification. But what support is there for the used electric vehicle (EV) market? Dr Christof Engelskirchen, chief economist at Autovista Group, explores the impact of these measures.
In a renewed effort to accelerate the transition to electric mobility, the German government has unveiled a suite of measures. The corporate fleet sector appears to be a central target of this latest approach. Part of the broader ‘Responsibility for Germany’ programme, this initiative marks a pivot from consumer subsidies to structural incentives and industrial support.
Key elements of the plan include accelerated depreciation for electric company cars. There are also extended vehicle tax exemptions for EVs until 2035, and streamlined permitting for charging infrastructure. These measures are designed to ease the financial burden on businesses and encourage fleet electrification. This is a welcome shift, albeit one that still leaves critical gaps.
‘The higher tax depreciation rates only apply to companies purchasing vehicles for inclusion in their business assets,’ explained Robert Madas Autovista Group’s regional head of valuations. Companies and consumers leasing BEVs will only benefit if leasing companies pass on the tax advantages through more favourable rates.
Carrot and stick approach
Over the past year, the carrot-and-stick approach to driving EV adoption has leant heavily towards the stick. That stick was hitting OEMs hard.
There has been little stimulus for drivers to choose an EV over an internal-combustion engine (ICE) model. One notable exception to this rule is company car drivers. They still benefit from a substantial cut in benefit-in-kind taxation when choosing a battery-electric vehicle (BEV) over an ICE model.
Private individuals had little incentive to go electric, whether purchasing a new or used vehicle. This is underlined by registration numbers and the powertrain mix.
BEV registrations fell massively in the first months of 2024 after the expiry of state subsidies. However, all-electric registrations have seen year-on-year growth of 43.2% so far this year, pushing the powertrain’s market share to 17.6%.
‘So, there has been development without subsidies, especially among fleets,’ Madas pointed out. ‘One of the reasons is improved affordability.’
BEVs are now in almost every vehicle segment and often reach a price close to conventional ICE powertrains. Furthermore, many companies have implemented ESG guidelines in favour of BEVs. Company car drivers can profit from a substantial cut in benefit-in-kind taxation.
Miss for used EV market
With these proposals, the German government is supporting EV adoption within company car fleets. This will help boost the EV share of Germany’s new-car market. The measures will also provide relief to carmakers facing mounting pressure from the EU’s industrial policy and CO₂ fleet targets.
However, the policy falls short of addressing the used EV market, which is a critical component for long-term adoption. The German government has missed an opportunity to increase the attractiveness of used EV ownership. An increase in new-vehicle supply, without stimulating the demand for used models is not ideal.
Furthermore, stimulating EV leasing may increase new registrations to a level that used-car markets are unable to absorb in three or four years. That is an additional risk for residual values (RVs).
Three measures for used EVs
There may still be time to bolster demand for used EV ownership. To achieve this, a three-pronged approach is needed. The first is bringing down electricity costs. The German government proposed a measure with this in mind as part of its recent 2025 coalition agreement. This needs to be implemented swiftly.
Second, the ramp-up of charging infrastructure needs to be sped up. Increasing competition in this space will help lower high electricity costs at public charging points. This can cost three times as much as at a private wall box.
Third, driving electrification is not just about incentivising EVs, but disincentivising ICE ownership. Governments can put measures in place to increase the costs of ICE ownership. Europe’s leading EV market, Norway, has already shown has this can work.
Looking ahead, a coherent and transparent roadmap is needed. Germany needs a combination of measures to drive EV adoption which need to be decisive and impactful. These tactics can be implemented over time and can even be modified if necessary. The key is making the plans clear and comprehensible so people can get on board with them.
There is still a lot of consumer uncertainty about the transition to EVs, and whether it will actually happen. This is driving angst about making the electric switch. As Germany recalibrates its EV strategy, the success of these measures hinges not only on their economic impact, but on their ability to build public confidence in the electric future.
Despite increases in some European markets during April, demand for used cars plummeted in May, impacting residual values (RVs). Autovista24 journalist Tom Hooker reviews the data with Autovista Group experts.
Used-car demand dropped significantly across major European markets last month. The sales-volume index (SVI) of two-to-four-year-old cars fell in Germany, Spain, France, Switzerland, Italy and Austria compared to April. Alongside the UK, most of these countries also suffered a year-on-year sales decline.
Germany saw the sharpest drop compared to April, with demand slumping by 35.5%. Spain endured a 32.5% decline, while the SVI in France fell by 21.2%. Sales in Switzerland declined by 13.4%, followed by Italy and Austria, where demand dropped by 12.8% and 11.6%, respectively.
The UK was an outlier, avoiding a month-on-month decline, although its SVI increased by just 0.2%. However, when compared to May 2024, demand in the UK decreased by 23.7%.
This was far from the greatest year-on-year decline, with dealership sales in Spain slumping by 66.4%. In Germany, two-to-four-year-old models endured a 33.2% drop in demand, according to the SVI. Meanwhile, Austria and Switzerland both saw this metric fall by 13.7%. How did this apparent decline in demand affect other metrics?
Residual values fall further
RVs presented as a percentage of original list price (%RV) after 36 months and 60,000km, continued their decline in May. As the market is experiencing relatively stable supply, declining consumer demand is placing additional pressure on RVs. These values are forecasted to drop across Europe this year.
Most of the markets under observation have seen %RVs fall since the start of the year. The only exception is Germany, which has recorded value stability since January.
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Italy saw the biggest year-on-year decline in %RVs, with values dropping by 4.6 percentage points (pp) compared to May 2024. Austria was next, down 4.3pp, then Switzerland, dropping 4.2pp.
Spain saw values dip by 3.4pp, while Germany recorded a decline of 2.3pp. Of the recorded markets, the UK saw the smallest year-on-year change in %RVs, down 1.1pp.
Rising list prices
May witnessed a rise in list prices. All markets recorded an increase in this metric compared to April.
The UK had the biggest increase of 3.1%, followed by France up 2.3%. List prices in Spain grew by 1%, while Germany, Austria and Switzerland all posted a 0.7% rise in this metric from one month ago.
Italy had the smallest increase compared to April, up just 0.2%. It recorded a drop in list prices compared with May 2024, down by 2.3%. In contrast, list prices grew by 9.3% in Austria compared to one year prior.
The UK also saw a steep increase of 7.8%, while cost-new prices in Spain and Germany rose by 7.5% and 7.2% respectively. Meanwhile, list prices grew by 5.1% in Switzerland.
Demand drops in Austria
‘The SVI in Austria decreased in May following an increase in April. The number of observed sales fell by 11.6% compared to the previous month. This equated to a year-on-year decline of 13.7%,’ stated Robert Madas, Autovista Group’s regional head of valuations.
Meanwhile, the active-market volume index (AMVI) of two-to-four-year-old passenger cars decreased slightly, down 3.1% compared with April. The number of adverts for passenger cars in this age bracket fell by 6% compared to the previous year.
At 65 days, the average amount of time needed to sell a used car remained consistent in May.
Diesel vehicles continued to be the fastest-selling powertrain, taking 58.9 days on average to sell last month. This was followed by plug-in hybrids (PHEVs) at 65.9 days, petrol vehicles at 67.2 days and full hybrids (HEV) at 67.8 days. Battery-electric vehicles (BEVs) took the longest amount of time to sell at 81.1 days.
Average %RVs decreased marginally to 47.3% in May. This was a 0.3pp drop compared to April but a slump of 4.3pp year-on-year.
‘HEVs retained the greatest amount of trade value in January at 51%, followed by petrol cars at 49.2%. Then came diesel models with 47.7% and PHEVs with 45.6%. BEVs again retained the lowest amount of value, at 39.9%. This was its second consecutive monthly drop, so the improving trend for BEVs has ended,’ highlighted Madas.
%RVs are expected to decrease in the coming years but at a slower pace. This is due to weakening demand and unwavering supply. By the end of 2025, %RVs are expected to decrease by 0.6%. In 2026, a slight year-on-year drop of 0.7% is also expected.
Expensive used cars in France
%RVs were roughly stable in May, with a very slight decrease. The 2% absolute RV growth was mainly because more expensive cars were sold this month. List prices increased by 2.3% compared to April.
Petrol-powered vehicles remained stable, as the fastest sellers came from A, B and B SUV segments. The diesel market also stayed relatively unchanged, with the fastest movers coming from the C SUV and D segment.
‘Overall, HEV %RVs decreased slightly in May, as increasingly expensive vehicles were sold. Newer and more expensive models in this category do not hold values as well as older hybrid cars, which were on the market when the technology was still emerging,’ commented Ludovic Percier, Autovista Group’s senior RV analyst for France.
PHEVs also suffered a slight %RV drop. Used-car customers are not willing to pay such a high premium, like for HEVs. Supply for the technology still exceeds demand, causing %RVs to fall in the last few months.
The only thing holding %RVs is the release of new models with better electric-only ranges alongside more premium vehicles. Yet, list prices on the new-car market remain high, explaining the powertrain’s larger value loss.
Stagnating BEVs
BEV %RVs suffered a marginal decline in France as more expensive vehicles were sold in May. In this category, the Tesla Model Y was the quickest to sell. However, the sedan’s price, along with its Model 3 sibling, dropped recently.
Most of the fastest-selling BEVs were more affordable models or those offering the best ratio of price and range. This was highlighted in the fastest-sellers list with the Smart Fortwo and BMW i3 taking second and fourth respectively. Elsewhere, premium BEV cars struggled to hold value like their ICE equivalents.
‘The technology appears to be stagnating, as brands are pushed by governments to sell an increasing number of new BEVs. This means the used-car market is becoming crowded with these models but still has too few buyers,’ noted Percier.
Germany’s declining demand
Following a significant increase in April, the SVI suffered a steep decrease in May. Compared to the previous month, this metric was down 35.5%. It also endured a 33.2% drop year-on-year.
Meanwhile, the AMVI of two-to-four-year-old passenger cars remained rather stable compared to April with a slight decrease of 1.3%. The supply volume of passenger cars in this age bracket dropped by 11.5% compared to the previous year.
‘The average number of days needed to sell a used car decreased to 58 days in May. PHEVs sold the fastest at 54.5 days, while diesel cars also sold quickly, taking 55.6 days on average. Then came HEVs at 56.4 days, followed by BEVs after 57.7 days and petrol cars after 60.4 days,’ said Madas.
%RVs of 36-month-old cars at 60,000km showed a marginal increase in May. Used models held an average %RV of 47.7%, up 0.1pp from April. Petrol cars led the market with a %RV of 49.3%. Then came HEVs at 48.8% and diesel cars at 48.7%, followed by PHEVs at 42.7%. BEVs again retained the lowest level of value at 37.2%.
‘Although RVs have stabilised recently, demand remains rather weak. Therefore, RVs can be expected to remain under pressure. In 2025, %RVs are forecast to decrease, down 2.8% when compared with December 2024. Pressure will probably ease in 2026, with RVs forecasted to decline by 1.4%,’ he outlined.
Positive growth in Spain
Spanish new-car sales continue to perform positively, with a growth of 7.1% in April. This meant the market surged 12.2% during the first four months of the year.
All channels saw registration growth. The corporate channel improved at a steady pace and the rental channel grew at a higher rate. This boost in sales came ahead of the start of the peak tourist season.
‘The private individual channel also increased in volume. This was largely due to the special Reinicia Auto+ plan for those affected by the DANA floods in Valencia. A boost in EV deliveries also helped. The technology reached a 16.2% share in May while representing 14.7% of total sales in the year to date,’ explained Ana Azofra, Autovista Group’s head of valuations and insights, Spain.
The used-car market is also experiencing a period of growth, up 3.7% from January to April. Furthermore, there was a significant increase in EVs and younger cars being sold in this period. This creates a more sustainable used car offer.
‘Regarding average transaction prices, the Spanish market continues to distance itself from the negative trend observed in most European markets. All powertrains saw values stabilise, while used cars sold 10 days faster on average when compared to the previous year, taking 67.3 days. So, we can continue to expect stability,’ noted Azofra.
Only PHEVs and petrol models showed a drop in absolute RVs during May, falling by -4.7% and 0.4% respectively. However, it is worth noting that the mix of PHEV cars in Spain now includes offerings from more economical segments and brands. The fastest-selling models in May were the Lynk & Co 01, Kia Ceed and Toyota CH-R.
Switzerland’s significantly lower demand
‘After an increase in April, the SVI decreased significantly in Switzerland during May. The number of sales observed decreased by 13.4% compared to the previous month. Year-on-year, the SVI was down by 13.7%,’ stated Madas.
Meanwhile, the AMVI of two-to-four-year-old passenger cars decreased by 1.1% compared to April. However, the supply volume of passenger cars in this age bracket slumped by 11.7% compared to the previous year.
RVs of 36-month-old cars at 60,000km dropped slightly in May, as %RVs fell to 43.3% from 43.7% in April. Yet, the year-on-year drop was more severe, down 4.2pp from the values recorded 12 months ago.
‘HEVs retained the most value in May by far at 48.4%. Then came petrol cars at 44.7%, diesel models at 42.1% and PHEVs at 40.7%. BEVs were once again the worst-performing powertrain, retaining just 37.3% of their original list price after three years and 60,000km,’ he highlighted.
April saw two-to-four-year-old passenger cars sell at a similar pace to April. On average, used vehicles spent 73.9 days in stock.
HEVs sold fastest at 57.2 days, followed by petrol cars at 72.3 days, diesel models at 75 days and BEVs at 79 days. Meanwhile, PHEVs needed the most time to sell at 84 days on average.
A trend of relatively stable supply and low demand will continue as various uncertainties shroud 2025. Therefore, %RVs are expected to decrease in the next years, but at a slower pace. By the end of 2025, %RVs are predicted to decrease by 3.9% compared to December 2024. In 2026, a lower year-on-year drop of 1.5% is forecast.
Stability in the UK
In May 2025, the average three-year-old car retained 50.8% of its original cost-new price. This was unchanged from April, indicating a stable used car market. The average %RV of petrol cars increased marginally by 0.1pp to 52.7%, while the average %RV of diesel cars rose by 0.5pp to 53%.
‘In contrast, the average hybrid model retained 54.5% of its original list prices, a drop of 0.4pp, and the average PHEV %RV decreased by 0.6pp to 49.2%. BEVs saw a slightly larger drop, with the average RV falling by 0.9pp to 37.5%,’ said Jayson Whittington, Autovista Group’s regional head of valuations, UK.
On average, it took 37.5 days to sell a used car in May, an increase of 3.1 days month on month. Hybrid cars emerged as the fastest-selling fuel type in the UK, with an average sales time of 35.5 days. They also retained the largest percentage of their original list price after three years.
Hybrids slower to sell
The average number of days needed to sell a used petrol car rose by 3.8 days to 37.2 days. For diesel, this metric increased by 4 days to 42.3 days.
Although hybrid vehicles performed well overall, it took 2.6 additional days to sell one in May compared to April. PHEVs took 0.6 fewer days to sell at 37.6 days. It took dealers on average 37 days to sell a BEV, up 1.2 days month on month.
The SVI remained broadly level compared to April, indicating consistent retail conditions. Meanwhile, the AMVI showed a 1.6% decrease in the number of cars advertised for sale by dealers.
‘If March’s plate change activity generated additional used cars, they have either already washed through forecourts, or the volume was not substantial, and with no significant extra volume expected to hit wholesale channels, the short-term outlook for RVs in the UK is stable,’ concluded Whittington.
Breaking down the impact of tariffs on global light-vehicle forecasts. Unpacking used-car value trends in Europe, and watching Volkswagen Financial Services (VWFS) bring down the curtain on Heycar. Autovista24 editor Tom Geggus explores the week’s news in The Automotive Update podcast.
This week’s episode dives into how tariffs on automotive imports into the US have shaken the industry. Also, Autovista24 journalist Tom Hooker outlines key trends from April’s European used-car market. Lastly, find out about VWFS’s Heycar decision.
The global automotive industry faces a turbulent 2025, driven by shifting tariffs and economic uncertainty. A 25% US tariff on imported vehicles and parts introduced in March, sparked industry concern. However, President Donald Trump’s executive orders have since eased the impact. Carmakers will now be able to offset some costs and avoid layered duties.
Major manufacturers welcomed the president’s move. The American Automotive Policy Council, representing Ford, GM, and Stellantis, welcome the news. Still, global forecasts have dimmed. EV Volumes cut its 2025 light-vehicle sales growth projection to 1.2%, down from 1.9% in March.
Northern America’s outlook dropped to 17.67 million units, amid fears of reduced EV incentives. Rising vehicle prices, which are expected to climb 5% this year in the US, may further weaken demand. Europe is expected to see growth of just 0.15%, while China’s volumes are forecast to rise by 2.7%.
European used car values continue to fall
Used-car residual values (RVs) continued to decline across Europe in April. Three-year-old vehicles at 60,000km held on to a smaller percentage of their list price compared with March. This trend was recorded in Austria, France, Germany, Italy, Spain, Switzerland, and the UK.
Values also dropped year-on-year, with Italy seeing the steepest fall, down 4.6 percentage points (pp) compared to April 2024.
Plug-in hybrids in particular struggled across Europe. However, the UK remained relatively stable, with RVs falling only 1pp. Battery-electric vehicles and full hybrids even posted modest gains of 1.3pp and 0.7pp respectively.
End of the road for Heycar?
VWFS is winding down its Heycar marketplace division, as reported by Fleet Europe. As its majority shareholder, VWFS will absorb the platform’s technology and expertise into a newly formed subsidiary.
Heycar was launched in 2017, with backing from VWFS, Daimler Mobility, and Volkswagen (VW). The latter is believed to have invested around €300 million in the division since its launch. The platform entered the UK in 2019, positioning itself as a competitor to established players. In 2023, Heycar underwent significant restructuring in the pursuit of profitability.
That same year, Daimler decided to sell its shares in the company. Initially launched as a classified marketplace, Heycar later introduced e-commerce options for customers. It sought to evolve within the automotive digital space before its closure.
VWFS has not yet specified the exact closure date. However, AM Online reported that Heycar’s operations will be wrapped up before the end of the summer.
Residual values (RVs) of 36-month-old cars at 60,000km, presented as a percentage of original list price (%RV), fell in April. But which countries and powertrains suffered the biggest drops? Autovista24 journalist Tom Hooker analyses the figures with Autovista Group experts.
On average, %RVs saw year-on-year declines in Austria, Germany, Italy, Spain, Switzerland and the UK. Alongside France, these markets also saw values fall compared with March.
Italy suffered the steepest year-on-year %RV decline, dropping 4.6 percentage points (pp) to 48.4%. This was down from its 48.8% market average recorded in March. Meanwhile, Austria saw its lowest %RV since December 2024, at 47.7%. Compared with April 2024, %RVs dropped by 4.1pp and 0.6pp from March.
Average trade values in Switzerland slumped 4pp year on year to 43.7%. This was down from an average of 44.1% in March. Spain endured a 2.8pp fall in %RVs compared to April 2024 and a 0.5pp month-on-month drop. France also saw values decrease by 0.5pp compared with March.
Elsewhere, the UK suffered its lowest %RV performance since August 2024. It went from an average trade value of 51.7% in April 2024 to 50.7%, marking a 1pp decline from one year ago.
Germany saw comparative stability, with little month-on-month change. However, the country %RVs fell by 2.6pp compared to April 2024.
PHEV values plummet
Compared with 12 months ago, trade values of plug-in hybrids (PHEVs) struggled in Europe. It was the worst-performing powertrain in Italy, Spain and the UK, with drops of 7.5pp, 4pp and 0.8pp respectively.
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Conversely, battery-electric vehicles (BEVs) saw roughly average performances compared with other powertrains. In the UK, BEVs recorded a 1.3pp %RV growth compared to April 2024. This was the best result across all the technologies in the six markets assessed. However, in Switzerland, the powertrain suffered the worst year-on-year fall of any powertrain, at 5.8pp.
Meanwhile, full hybrids (HEVs) saw values decrease by 2.1pp and 2.6pp in Spain and Switzerland respectively. Alongside diesel, the powertrain performed well in Italy, posting a 3.9pp fall, while the overall used-car market dropped by 4.6pp.
Diesel was the best-performing powertrain in Germany and Austria, with respective declines of 1.8pp and 2.4pp declines. Petrol followed the average market trend in the six countries observed. However, in Austria, it faced the biggest decline of any fuel type, at 5.2pp.
Increasing demand in Austria
‘Following a slight decrease in March, the sales-volume index (SVI) in Austria increased slightly in April. The number of observed sales increased by 4.3% compared to the previous month. This was a year-on-year decline of 6.9%,’ outlined Robert Madas, Autovista Group’s regional head of valuations.
Meanwhile, the active-market volume index (AMVI) of two-to-four-year-old passenger cars remained stable. However, the supply volume of passenger cars in this age bracket fell by 3.6% compared to the previous year.
At 66 days, the average amount of time needed to sell a used car decreased again in April. This was around 2.6 days faster than in March.
Diesel vehicles continued to be the fastest-selling powertrain, taking 59.4 days to sell on average last month. This was followed by HEVs at 60.7 days, PHEVs at 70.2 days and petrol vehicles at 70.5 days. BEVs took the longest amount of time to sell at 73.1 days.
%RVs decreased to 47.7% on average in April. This was a 0.6pp decrease compared to March and a 4.1pp decrease year-on-year.
HEVs retained the greatest amount of trade value in January at 51.3%, followed by petrol cars at 49.2%. Then came diesel models with 48%, and PHEVs with 46.4%. BEVs again retained the lowest amount of value, at 41.3%. This was a 2.7pp drop compared to March, so the improving trend from the previous months stopped in April.
‘%RVs are expected to decrease in the coming years but at a slower pace. This is due to weakening demand and unwavering supply. By the end of 2025, %RVs are expected to decrease by 0.7%. In 2026, a slight year-on-year drop of 0.7% is also expected,’ stated Madas.
Stable values in France
In France, absolute RVs remained stable for petrol and diesel models in April, compared with March. Meanwhile, HEVs and PHEVs recorded a slight RV increase. Smaller and cheaper cars were the quickest to sell during the month.
%RVs for petrol-powered cars were relatively stable in April. The powertrain was more attractive to used-car customers this month. Compared to March, the fuel type took 4.2 fewer days to sell on average.
‘The petrol vehicle market was quite stable until December last year. Values then fluctuated at the beginning of this year to find a stabilisation again,’ explained Ludovic Percier, Autovista Group’s senior RV analyst for France.
%RVs of diesel-powered cars were stable in April after successive months of marginal increases. This counterbalanced the decrease the fuel type experienced until December 2024.
‘There is still demand for diesel models on the used-car market. However, there are smaller volumes and model ranges on offer compared to previous years. Diesel cars are among the fastest-selling powertrains with HEVs, evidencing how much demand they are in,’ highlighted Percier.
Overall HEV %RVs fell this month due to more expensive vehicles being sold. However, the technology remains the fastest in terms of selling times. HEVs are still appreciated in France, so %RVs have remained stable overall.
‘Currently, the technology strikes an appealing balance between petrol and diesel vehicles and BEVs. One of its major advantages is that, unlike BEVs and PHEVs, there is no need to charge the car. Furthermore, some HEVs are becoming more affordable,’ noted Percier.
Suffering PHEVs
PHEVs suffered from a significant decrease in value last year and remain the second slowest-selling powertrain in France. The technology has seen an oversupply on the used-car market caused by fleet buyers on the new-car market.
‘This month, PHEV values decreased slightly. However, the introduction of newer models with better electric-only ranges and more premium models has helped keep RVs roughly stable,’ said Percier.
While values did increase compared with the first three months of the year, figures have only returned to the levels recorded at the end of last year. List prices on the new-car market remain high, explaining the powertrain’s larger value loss.
BEVs not only spent the longest amount of time in stock but also recorded the lowest RVs. Values have fallen considerably in previous months. Despite marginal increases in January and February, April RVs dropped by 0.8pp compared to March.
The technology appears to be stagnating, as brands are pushed by governments to sell an increasing number of new BEVs. This means the used-car market is becoming crowded with models but still has too few buyers. While Tesla enjoyed some of the fastest selling times on the used-car market, other brands struggled to find customers.
‘As of December 2023, BEV purchase incentives became dependent on lifetime carbon emissions. This meant some brands and models were no longer eligible. Therefore, used models are still too expensive, causing prices to drop month after month,’ he commented.
Where demand does not meet supply, the market sees a strong RV drop and lower prices. Overall, small cars are the fastest sellers, including the affordable Toyota Aygo and Dacia Duster.
Germany’s surging SVI
Following a significant decrease in March, the SVI in Germany showed a steep month-on-month increase in April, up 22.7%. However, the metric was down 21.2% year-on-year.
‘Meanwhile, the AMVI of two-to-four-year-old passenger cars remained rather stable compared to March with a slight decrease of 3.1%. The supply volume of passenger cars in this age bracket dropped by almost 12% compared to the previous year,’ stated Madas.
The average number of days needed to sell a used car increased to 64.4 days in April. PHEV models sold the fastest at 60.3 days, followed closely by diesel cars at 60.6 days. Then came BEVs at 61.6 days, followed by petrol cars after 67.9 days and HEVs after 72.2 days.
‘%RVs of 36-month-old cars at 60,000km remained stable in April. Models held an average %RV of 47.6%. Petrol cars led the market with a %RV of 49.2%. Then came HEVs at 49.4% and diesel cars at 48.6%, followed by PHEVs at 42.7%. BEVs again retained the lowest level of value at 37.3%,’ he outlined.
Although RVs have stabilised recently, demand remains rather weak. Therefore, RVs can be expected to remain under pressure. In 2025, %RVs are forecast to decrease, down 2.6% when compared with December 2024. Pressure will probably ease in 2026, and RVs are forecasted to decline by 1.4%.
Italy’s unsurprising values
‘There were no surprising residual value trends in Italy during April. Compared to one year ago, %RVs declined sharply by 4.6pp. There was also a 0.4pp drop from last month, a clear sign that so far there has been no reversal of the downward trend,’ highlighted Marco Pasquetti, Autovista Group’s head of valuations for Italy.
Current list prices are very close to April 2024 and have only decreased by €125. However, compared to 12 months ago, absolute RVs fell from €20,766 to €18,897 on average. This equated to a drop of almost €2,000.
Despite recording a year-on-year %RV decline of 1.9pp, liquefied petroleum gas (LPG) vehicles remained stable compared to last month. The powertrain retained 47.5% of its original list price value in April.
‘It is well known that Italy is one of the main markets for this fuel type. Sales in the new market also confirm a strong appreciation of the powertrain. LPG vehicles accounted for 9.2% of overall registrations in the first quarter of the year, not far away from diesel’s 10% share,’ said Pasquetti.
The worst performers compared to April 2024 were PHEVs and BEVs, with %RVs falling by 7.5pp and 5.4pp respectively. Currently, a used BEV retains 30.4% of its list price after 36 months and 60,000km.
The overall RV outlook for 2025 is down 7.2% compared to December 2024. However, there is still a high level of uncertainty related to the introduction of tariffs and related countermeasures. This could affect used-car values to some extent. It will be crucial to constantly observe the development of the used-car market.
Spain’s passenger car growth
The Spanish new-car market continues to show great strength. Registrations continue to grow significantly across all channels. In March, a year-on-year growth of 23.2% was achieved. Meanwhile, the market improved by 14.1% in the first quarter.
‘As in previous months, part of this growth in private sales corresponds to the special Reinicia Auto+ plan for those affected by the DANA floods in Valencia. Excluding these special sales, the monthly growth would be 18%, which is still significant,’ commented Ana Azofra, Autovista Group’s head of valuations and insights, Spain.
In addition to this new-car market positivity, there is a notable increase in sales of electric vehicles. Plug-in deliveries increased by 68.8% in March and took a 14.1% market share. Projections are also positive for the coming months.
‘The used-car market is also experiencing growth, with an accumulated boost of 8% across the first three months of the year. As expected, the presence of EVs has also increased among used car transactions. Plug-in stock is currently increasing, facilitated by a negative adjustment in their average transaction prices,’ she noted.
In April, a three-year-old BEV with 60,000km sold for €21,362 on average. This equated to a drop of €601 compared to March and almost €1,600 less than a year ago.
However, the mix of models for sale is also changing with the introduction of new players in the market. The remaining powertrains continue to show great stability. Finally, the three fastest-selling used models this month were the Lynk & Co 01, Mazda CX-30, and Toyota CH-R.
Improving demand in Switzerland
Following a decrease in March, the SVI increased in Switzerland in April. The number of sales observed increased by 2.1% compared to the previous month. Year-on-year, the SVI was up by 7.6%.
‘Meanwhile, the AMVI of two-to-four-year-old passenger cars decreased slightly by 1% in April compared to March. However, the supply volume of passenger cars in this age bracket slumped by 10% compared to the previous year,’ explained Madas.
RVs of 36-month-old cars at 60,000km dropped slightly in April. Meanwhile, %RVs fell to 43.7% in April from 44.1% in March. However, the year-on-year drop was more severe, down 4pp from the values recorded 12 months ago.
HEVs retained the most value in April by far at 49%. Then came petrol cars at 45.2%, diesel models at 42.2% and PHEVs at 41%. BEVs were once again the worst-performing powertrain. All-electric cars retained only 38.2% of their original list price after three years and 60,000km.
April saw two-to-four-year-old passenger cars sell quicker than in March. These vehicles spent 75.2 days in stock on average.
‘Petrol cars sold fastest at 71.4 days, followed by HEVs at 73.7 days, diesel cars at 74.6 days and PHEVs at 83.1 days. Meanwhile, BEVs needed the most time to sell at 85.8 days on average. However, this was an improvement compared to the previous month when the technology took 11.5 days longer to sell on average,’ he stated.
A trend of relatively stable supply and low demand will continue as various uncertainties shroud 2025. Therefore, %RVs are expected to decrease in the coming years, but at a slower pace. By the end of 2025, %RVs are expected to decrease by 3.5% compared to December 2024. In 2026, a lower year-on-year drop of 1.5% is expected.
Rising supply in the UK
‘In April, the used-car market in the UK was reasonably stable. The average three-year-old car retained 50.7% of its original new price. This marked a slight decrease of 0.5pp from March. Compared to April 2024, the average %RV fell by one percentage point,’ said Jayson Whittington, Autovista Group’s regional head of valuations, UK.
Interestingly, the AMVI increased by 7.8% compared to the previous month. Despite this rise in advertisements, the SVI revealed a 2.8% decline in sales from March.
‘One positive trend was the reduced average number of days it took dealers to sell a used car. This figure fell by 6.4 days, bringing the average down to 34.4 days. This quicker turnover implies that, although fewer cars were sold, dealers were able to sell them more quickly. This was likely due to an improved mix of vehicles on offer,’ he noted.
The market for BEVs showed mixed results. BEV %RVs fell by 0.6pp from the previous month. However, compared to April 2024, this was an increase of 1.3pp. Additionally, there was a 6% increase in BEV sales compared with March. There was also a 1.2% rise in the number of BEVs advertised for sale.
Clearly, used-car stock is on the rise. It will be interesting to see if March’s plate change generated a significant increase as fresh stock begins to work its way through wholesale channels and onto dealer forecourts.
Used-car markets across Europe saw sales pick up speed from February to March. But did all powertrains benefit from this trend? Tom Geggus, Autovista24 editor, examines the data with Autovista Group experts.
On average, two-to-four-year-old cars were sold more quickly in March 2025 than in February. Austria saw one of the greatest improvements, with 6.3 stock days saved between the two months.
The UK, Spain and Switzerland were not far behind, narrowing the gap by 5.6, 4.9 and 4.8 days on average respectively. Stock days in Germany shrank by 3.5 days, while Italy only managed to shave off 0.4 days. The time needed to sell a used car in France did increase, but only by 0.2 days on average.
Faster used-car sales
However, not all powertrains saw the same speedy sales performance across these markets. In Austria, France, Italy, Spain and Switzerland, battery-electric vehicles (BEVs) took the longest time to sell.
The powertrain continues to struggle across many markets. Rapid technological development means used BEVs are ageing more quickly as consumers compare their capabilities with newer, more advanced models.
A lack of charging infrastructure development and deployment is also holding potential buyers back. For many, the shorter refuelling time of an internal-combustion engine (ICE) still appears more convenient.
The UK was the major exception to this trend, where BEVs were the fastest-selling powertrain. With the technology recording comparatively lower levels of value retention, some buyers were looking to snap up a deal.
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Meanwhile, hybrid technology, including full (HEVs) and plug-in hybrids (PHEVs), recorded the fastest selling times across many markets. These powertrains were snapped up in France, Germany, Italy and Spain during March.
The technology offers a bridge for many buyers. The powertrain provides faster ICE refuelling and improved fuel economy thanks to the assistance of electric motors. This is leading to demand on the used-car market with shorter selling times.
Stock days fall in Austria
Following a significant increase in February, the sales-volume index (SVI) in Austria decreased slightly in March. The number of observed sales decreased by 2.2% compared to the previous month. This was a year-on-year decline of 9.5%.
Meanwhile, the active-market volume index (AMVI) of two-to-four-year-old passenger cars increased slightly in March by 1.4%. However, the supply volume of passenger cars in this age bracket was down by 5.8% compared to the previous year.
‘At 68.6 days, the average amount of time needed to sell a used car decreased significantly in March,’ commented Robert Madas, Autovista Group’s regional head of valuations. ‘This was around six days faster than in February.’
Diesel vehicles continued to be the fastest-selling powertrain, averaging 64.7 days last month. This was followed by HEV at 68 days, petrol vehicles at 70.1 days and PHEVs at 71.6 days. BEVs took the longest amount of time to sell at 74.6 days.
Residual values (RVs) of 36-month-old cars at 60,000km presented as a percentage of the original list price (%RV), decreased to 48.3% on average in March. This was a 0.5 percentage point (pp) decrease compared to February but a 3.5pp fall year-on-year.
HEVs retained the greatest amount of trade value in January at 52.5%, followed by petrol cars at 50%. Then came diesel models with 47.9% and PHEVs with 46.8%. BEVs again retained the lowest amount of value at 44.1%. However, this was a slight improvement compared to the previous months.
‘Thanks to weakening demand and unwavering supply, values are forecast to fall in the coming years. However, this decline will be at a slower pace,’ Madas added. ‘By the end of 2025, %RVs are expected to decrease by 0.9%. In 2026, a slight year-on-year drop of 0.7% is expected.’
France sees RV stability
‘RVs remained stable in France during March,’ outlined Ludovic Percier, Autovista Group’s senior RV analyst for France. ‘Some powertrains saw a slight increase compared with February, such as diesel and PHEVs. Overall, values remained stable compared with December 2024.’
%RVs also increased very slightly for petrol cars. This counterbalanced the drop recorded in February. Meanwhile, list prices and absolute RVs increased marginally. The used petrol vehicle market was quite stable until December last year. However, values remained strong overall.
Diesel cars continued to see their value-retention rates increase. This contrasts with a negative trend recorded at the end of 2024. There is still demand for the fuel type on the used-car market. However, there are smaller volumes and model ranges on offer compared to previous years. Alongside HEVs, diesel cars are among the fastest-selling powertrains, evidencing how much demand they are in.
The absolute value of HEVs was stable in March after values dropped in the last couple of months. However, the technology is still the fastest selling. HEVs are still appreciated in France, so %RVs remained roughly stable overall.
PHEVs were still the second slowest-selling powertrain in France during March as oversupply continued. However, the introduction of newer, more premium models with better electric ranges have helped keep RVs roughly stable.
While values did increase compared with January and February, figures only returned to the levels recorded at the end of last year. List prices on the market remain high, explaining the powertrain’s greater value loss.
BEVs underperform
All-electric vehicles also struggled, seeing fewer vehicles sold compared to February. ‘BEVs not only spent the longest amount of time in stock but also recorded the lowest RVs. Values fell considerably in previous months, then January and February saw marginal increases, but March was stable overall,’ Percier outlined.
BEVs appear to be stagnating, as brands are pushed by governments to sell more new all-electric models. This means the used-BEV market is becoming crowded while also having too few buyers.
BEV purchase incentives became dependent on lifetime carbon emissions at the end of 2023. This made some brands and models ineligible. So, used models remained expensive, causing prices to drop. Where demand does not meet supply, the market sees lower values and prices.
Weak demand in Germany
Following a significant increase in February, Germany’s SVI showed a steep decrease in March. Compared to the previous month, this metric was down 14.1%. Compared with March 2023, the indicator dropped by 28.8% year-on-year.
The AMVI for two-to-four-year-old passenger cars showed a slight increase of 2.4%. However, the supply volume of passenger cars in this age bracket dropped by 16.9% compared to 12 months ago.
The average number of days needed to sell a used car decreased to 60.6 days in March. PHEVs sold the fastest at 54.7 days, followed by diesel cars at 56.7 days. Then came BEVs at 57.7 days, petrol cars after 64.8 days and HEVs at 65.5 days.
%RVs of 36-month-old cars at 60,000km remained stable in March. On average, models held 47.6% of their value in the month. HEVs led the market with a %RV of 49.4%. This was followed by petrol cars at 49.3%, diesel cars at 48.5%, and PHEVs at 43.6%. Once again, BEVs retained the lowest level of value at 37.6%, but on a slightly improving trend compared to the previous month.
‘Although RVs have stabilised recently, demand remains weak,’ Madas explained. ‘Therefore, values can be expected to come under more pressure. In 2025, %RVs are forecast to decrease, down 2.4% when compared with December 2024. Pressure will probably ease in 2025, and RVs will show a declining trend of 1.4%.’
Cloudy forecast for Italy
‘The sharp RV decline continued in Italy during March. %RVs fell to 48.8% from 49.6% in February and 53.6% in March 2024. As this decline shows no sign of slowing, the regional forecast for 2025 has been revised downwards,’ said Marco Pasquetti, Autovista Group’s head of valuations for Italy.
The year is now expected to end with a 6.4% year-on-year drop in values. The forecast for 2026 has also been revised slightly. However, these drops are expected to be comparatively smaller.
Unexpectedly, HEVs saw the greatest drop in %RVs compared to February, from 53.3% to 51.8%. However, this figure should be considered within the context of the market’s overall downward trend.
Interest in the powertrain remains high, as confirmed by the SVI, which grew by 19.5% compared to February. The average number of days needed to sell a HEV fell by 3.9 days, better than the market average. Overall, the SVI was still up in Italy month on month. However, levels were still down compared to March 2024.
‘The two fastest-selling used models in Italy last month were both from Dacia. The Dacia Sandero took an average of just 19.2 days to sell, while the Dacia Duster sold in 26.5 days. The liquid petroleum gas (LPG) versions of these models sold particularly quickly,’ highlighted Pasquetti.
‘Overall, this fuel type continues to see improved sales rates, with the SVI increasing 12.2% year on year. At 41.6 days, LPG models also sold far faster than the market average of 64.6 days,’ Pasquetti added.
Younger used-car supply in Spain
Spain saw new-car sales continue to grow in the first quarter of 2025, across all channels. Registrations increased by 11% year on year in February.
However, a large part of this growth resulted from the special Reinicia Auto+ plan. This helps people affected by the DANA floods, especially those in the east of the country. Removing these sales from the overall figures would lower the growth rate from 11% to 5.8%.
‘Alongside this new-car market boost, Spain has also seen an increasing number of electric vehicle (EV) sales. Combined BEV and PHEV registrations climbed by 39% year on year,’ commented Ana Azofra, Autovista Group’s head of valuations and insights, Spain.
This growth can be expected to level off in the coming months. This is because it was the result of brands and dealers making concerted efforts to sell these powertrains at the end of 2024.
Spain’s used-car market is also experiencing a period of growth. The SVI in the country increased by 6.1% month on month. Promisingly, the market is seeing an increasing supply of younger vehicles. This is primarily due to the entry of models from the rental sector.
In terms of used-car transaction prices, Spain continues to show great resilience. Values have been very stable, and all powertrains have seen stock days improve month on month. The DS7 Crossback, the Toyota CH-R and the Volkswagen Polo recorded the fastest turnover rates in March.
In March, the average value of a three-year-old car at 60,000 km was €19,864. This was 1.4% higher than in March 2024.
No supply let-up in Switzerland
Following a significant increase in February, the SVI decreased in Switzerland during March. The number of observed sales decreased by 3.2% compared to the previous month. Year-on-year, the SVI was almost stable, falling by only 0.1%.
Meanwhile, the AMVI of two-to-four-year-old passenger cars increased by 3% month on month. Despite this, the supply volume of passenger cars in this age bracket slumped by 7.4% compared to the previous year.
‘Influenced by constant supply, RVs of 36-month-old cars at 60,000km dropped in March,’ outlined Madas. ‘%RVs fell to 44.1% in March from 44.6% in February. Yet, the year-on-year drop was more severe, down 3.5pp from the values recorded 12 months ago.’
HEVs retained the most value in January by far at 49.8%. Then came petrol cars at 45.6%, diesel models at 42.6% and PHEVs at 41.5%. BEVs were once again the worst-performing powertrain, retaining only 38.7% of their original list price after three years and 60,000km.
March saw two-to-four-year-old passenger cars sell more quickly than in February. Used vehicles spent 77.3 days in stock on average.
Diesel cars sold fastest at 69.9 days, followed by HEVs at 71.9 and petrol models at 77.7 days. PHEVs took 81.3 days, showing a significant year-on-year decrease of 14 days. Meanwhile, BEVs needed the most time to sell at 84.9 days on average. However, reflected an improvement on the previous month when the time to sell was around 10 days longer.
‘A trend of relatively stable supply and low demand will continue as various uncertainties shroud 2025,’ Madas added. Therefore, %RVs are expected to decrease in the coming years, but at a slower pace. By the end of 2025, %RVs are expected to decrease by 3%. In 2026, a slight year-on-year drop of 1.5% is expected.’
Used-car supply slows in UK
On average, it took a UK dealer 5.6 fewer days to sell a used car in March than in February. According to March’s monthly dashboard, two-to-four-year-old cars sold in 40.7 days on average. This is a significant improvement from last month and aligns with last year’s performance.
BEVs remained the fastest-selling powertrain at just 35.8 days, a reduction of 2.4 days compared to last month. At 44.7 days, diesel models were the slowest to be retailed by dealers. This was despite their days-to-sell figure falling by 3.9 days month on month.
‘The AMVI revealed the volume of advertised models fell by 7.5% compared to February. This is likely a result of less used-car supply in the run-up to March’s plate change,’ commented Jayson Whittington, Autovista Group’s regional head of valuations, UK.
‘It appears less choice contributed to a fall in the rate of sales. The SVI showed a reduction of 3.1% compared with February. Compared to last year, the market generated 18.2% fewer used-car sales,’ he said.
BEVs continue to excel in the UK. The SVI increased by 18.1% for the powertrain compared to last month and 38.1% from last year. The AMVI shows a modest 4.6% growth in advertised BEVs. But compared to this time last year, there was an increase of 56.8%.
The average %RV of a BEV continues to trail the overall average of 51.3% significantly. The average BEV retained 39% at three years of age. However, when compared in absolute terms, there was only a monetary difference of £148 (€177).
Battery-electric vehicles (BEVs) continued to see the lowest value retention across Europe in February. Experts from Autovista Group analyse the value retention trends with Autovista24 editor Tom Geggus.
Compared with February 2024, Austria, Germany, Italy, Spain, Switzerland and the UK all saw residual values (RVs) drop all last month. RVs presented as a percentage of original list price (%RV) are undergoing normalisation following exceptional growth during the COVID-19 pandemic.
When demand drags behind persistent supply levels, RVs will continue to come under pressure. However, this trend of falling %RVs can be expected to even out in the next couple of years.
Value descent for BEVs
One of the most pressing issues facing the automotive market is the performance of BEVs. The powertrain’s %RVs continue to trail behind the wider market average in all seven of Autovista Groups’ observed markets.
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This poor value performance is the result of compounded market effects on all-electric cars. Firstly, BEVs are still developing at pace, with improved ranges and enhanced technological capabilities. This is making older used models age more quickly as they appear comparatively far less capable.
New brands are also entering Europe, offering advanced all-electric vehicles with lower price tags. In turn, this is making used models age more quickly as they become a worse value-for-money proposition.
Carmakers in Europe are rushing to meet CO2 targets as well. Where the new-car market sees flagging demand in the absence of incentives, some brands will end up discounting BEV stock. This will only work to erode the value of models already in the market.
Stock days increase in Austria
Following a decrease in December and January, Austria’s sales-volume index (SVI) increased significantly in February. The number of observed sales increased by a healthy 54.1% compared to the previous month. However, the SVI indicated a slight year-on-year decline of 4.6%.
Meanwhile, the active-market volume index (AMVI) of two-to-four-year-old passenger cars remained relatively stable in February compared to January. However, the supply volume of passenger cars in this age bracket slumped by 7.6% compared to the previous year.
‘At 74.2 days, the average amount of time needed to sell a used car increased significantly in February. On average, this was 4.6 days slower than in January,’ explained Robert Madas, Autovista Group’s regional head of valuations.
Diesel vehicles continued to be the fastest-selling powertrain, averaging 68.2 stock days last month. This was followed by petrol vehicles at 76.1 days, full hybrids (HEVs) at 78.9 days and BEVs at 80.4 days. Plug-in hybrids (PHEVs) took the longest amount of time to sell at 82.2 days.
On average across the market, %RVs of 36-month-old cars at 60,000km increased to 48.8% in February. This was a 0.5 percentage point (pp) increase compared to January but a 3.4pp decrease year-on-year.
HEVs retained the greatest amount of trade value in January at 52.5%, followed by petrol cars at 50.6%. Then came diesel models with 48.7% and PHEVs with 46.1%. BEVs again retained the lowest amount of value, at 43.9%, but with an improving trend up 2.3pp compared to the previous month.
%RVs are expected to decrease in the coming years but at a slower pace. This is due to weakening demand and unwavering supply. By the end of 2025, %RVs are expected to decrease by 1.5%. In 2026, a slight year-on-year drop of 1.1% is expected.
Value stability in France
‘RVs remained stable in France during February. Some powertrains saw a slight increase compared with January when a drop occurred. However, values remained stable compared with December 2024,’ outlined Ludovic Percier, Autovista Group’s senior RV analyst for France.
Petrol-powered cars saw %RVs fall in February. Yet, list prices and absolute RVs increased compared with January. The petrol vehicle market proved quite stable until December last year. However, values remained strong overall.
After a drop in January, diesel-powered cars returned to %RV levels last recorded in December. There is still demand for the fuel type on the used-car market. Despite this, there are smaller volumes and model ranges on offer compared to previous years. Diesel cars are among the fastest-selling powertrains, evidencing how much demand they are in.
The absolute value of HEVs saw a small decline in February following January’s drop. However, this allowed the technology to record comparatively faster selling times. HEVs are still appreciated in France, so %RVs have remained stable overall.
The powertrain is currently the best compromise between pure internal-combustion engines and BEVs. A major bonus is that there is no need to plug the car in. Additionally, some HEVs are becoming more affordable.
PHEVs slow to sell
PHEVs were the second slowest-selling powertrain in France during February as oversupply continued. However, the introduction of newer models has helped keep RVs roughly stable.
While values did increase compared with January, figures have only returned to the levels recorded in December. List prices on the new-car market remain high, explaining the powertrain’s larger value loss.
BEVs spent the second-longest amount of time in stock but also recorded the lowest RVs. Values did fall considerably in previous months, but January and February saw marginal increases. The technology appears to be stagnating, as brands are pushed by governments to sell an increasing number of new BEVs.
This means the used-car market is becoming crowded with models, but too few buyers. While Tesla enjoyed some of the fastest selling times on the used-car market, other brands struggled to find customers.
As of December 2023, BEV purchase incentives became dependent on lifetime carbon emissions. This meant some brands and models were no longer eligible. Therefore, used models are still too expensive, causing prices to drop month after month.
Where demand does not meet supply, the market sees a strong RV drop and lower prices. Overall, small cars are the fastest sellers, including the affordable Toyota Aygo and Dacia Duster.
Demand struggles against supply in Germany
Following a significant decrease in January, Germany’s SVI showed a steep increase in February. Month on month, this metric was up by 53.1%. However, this was a 14.3% decrease year-on-year.
Meanwhile, the AMVI of two-to-four-year-old passenger cars remained stable compared to January. There was only a slight decrease of 1.1%. However, the supply volume of passenger cars in this age bracket dropped by 24.1% compared to the previous year.
The average number of days needed to sell a used car increased to 64 days in February. PHEVs sold the fastest at 56.2 days, followed by BEVs at 59.3 days. Then came diesel after 60.7 days, HEVs after 68.6 days and petrol cars after 68.7 days.
%RVs of 36-month-old cars at 60,000km remained stable in February. On average, models held on to 47.7% of their original list price in Germany during the month.
Petrol models led the market with a %RV of 49.5%. Then came HEVs and diesel cars both at 48.9%, followed by PHEVs at 44.2%. BEVs retained the smallest amount of value at 37%.
‘As demand remains weak and supply persists, RVs can be expected to come under even more pressure,’ Madas said. ‘In 2025, %RVs are forecast to decrease, down 2.6% when compared with December 2024. Pressure will probably ease in 2026, and RVs will show a declining trend of 1.4%.’
Value decline in Italy
The average %RV of three-year-old cars fell in Italy last month. Levels dropped to 49.6% in February from 50.2% in January.
‘This progressive decline shows no sign of stopping, with %RVs now a way off the 54.2% recorded in February 2024,’ highlighted Marco Pasquetti, Autovista Group’s head of valuations for Italy.
This is due to an increasingly marked difference between continually falling absolute RVs and ever-growing list prices. The former was down 4.2% year on year, while the latter was up 4.8%. Sales volumes recorded on major online marketplaces were also down 14.2% year-on-year.
There were no major surprises in powertrain trends established over recent months. Petrol and diesel-powered models continue to sit at the heart of the Italian used-car market. This means their declining %RVs are in line with the wider market’s declining trend.
Meanwhile, compressed natural gas (CNG), liquid petroleum gas (LPG) and HEVs performed slightly better. However, they also saw %RVs fall compared with February 2024.
The Italian government decided not to renew EV incentives for 2025. Despite this, BEVs and PHEVs continued to lose value much faster than other powertrains. All-electric cars saw %RVs drop from 37% 12 months ago to 31.6%. Meanwhile, PHEVs fell from 52.3% to 44.7%.
Both technologies are also seeing very high stock times. Looking at online marketplaces, BEVs needed 84.5 days to sell on average, while PHEVs needed 80.3 days. This is far higher than the market average of 63.8 days.
Favourable economic conditions in Spain
‘Spain’s automotive market continued to see a positive streak in February. New-car sales kept growing, particularly in the private channel,’ said Ana Azofra, Autovista Group’s head of valuations and insights, Spain.
A major contributor to this trend was the favourable economic conditions, as well as the interest rate cut. This will make financing more affordable, meaning a sales boost can be expected in the coming months.
The MOVES plan, which incentivises BEV and PHEV sales, was in limbo for several weeks. However, the government expects the scheme to be approved soon, with the potential for retroactive application.
This prevented BEVs and PHEVs from stalling, with electric vehicles (EVs) taking a 14.2% market share during January. However, this is still a far cry from other European markets.
Marginal EV share
While their presence has increased compared to previous years, EVs still account for a marginal share of Spain’s used-car market. For example, BEVs barely made up 1% of the transactions at the start of this year. However, this is continuing to support the stability of used-vehicle prices.
However, Autovista Group’s key market indicators point towards a negative trend, especially the average turnover rate. Average days in stock have continued to increase for BEVs, reaching just shy of 120 days. This was nearly double the amount of time needed to sell a HEV.
Petrol and diesel models also spent fewer days in stock on average, at 75.7 and 78.4 days respectively. For this reason, 2025’s negative residual value forecast for BEVs remains unchanged.
The outlook is much better for other powertrains, including PHEVs. The technology continues to gain popularity, becoming a strong transition option in Spain. Last month, PHEVs took less time to sell compared to January. A large portion of the accumulated stock from 2024 has already been cleared.
This shift toward plug-in hybrids is also slightly reducing the prominence of full hybrids. The powertrain is now starting to plateau after a year of significant increases in average transaction prices. Nevertheless, HEVs continued to lead turnover rankings in February. The Toyota C-HR was on top again, followed by the DS DS7 and the Toyota Corolla.
Switzerland’s value slope
Following a decrease in December and January, the SVI in Switzerland increased significantly in February. The number of observed sales increased by a sizeable 36% compared to the previous month. Year-on-year the SVI was up by 2.6%.
Meanwhile, the AMVI of two-to-four-year-old passenger cars remained rather stable in February compared to January. However, the supply volume of passenger cars in this age bracket slumped by 10.2% compared to the previous year.
Influenced by constant supply, RVs of 36-month-old cars at 60,000km dropped last month. Presented as a percentage of retained new list price, values fell to 44.7% in February from 45.9% in January. However, the year-on-year drop was more severe, down 3.4pp from the values recorded 12 months ago.
HEVs retained the most value in January by far at 49.5%. Then came petrol cars (46%), diesel models (43.2%) and PHEVs with 42.1%. BEVs were once again the worst-performing powertrain. All-electric cars retained only 39.4% of their original list price after three years and 60,000km.
‘February saw two-to-four-year-old passenger cars sell slightly quicker than in January. On average, vehicles spent 81.2 days in stock,’ Madas pointed out.
Diesel cars sold fastest at 73.8 days, followed by petrol models at 79.3 days and HEVs at 79.8 days. PHEVs took 86.7 days, showing a significant year-on-year decrease of 14.4 days. Meanwhile, BEVs needed the most time to sell at 96.8 days on average.
A trend of relatively stable supply and low demand will continue as various uncertainties shroud 2025. Therefore, %RVs are expected to decrease in the coming years, but at a slower pace. By the end of 2025, %RVs are expected to decrease by 3%. In 2026, a slight year-on-year drop of 1.5% is expected.
UK sees value dip
‘The UK saw the average RV of a three-year-old car fall in February. List price retention hit 51.9%, down 0.8pp month on month,’ highlighted Jayson Whittington, Autovista Group’s regional head of valuations, UK.
All powertrains saw values decline month on month except for HEVs, which saw %RVs increase by 0.7pp to 56.3%. There were no major improvements for PHEVs, with values dropping by 1.6pp. Diesel fell by 1pp and petrol decreased by 0.8pp. Battery-electric vehicles remained broadly stable, down 0.1pp.
As expected, retail activity in the preceding 30 days to 12 February was significantly stronger than over the festive period. According to the SVI, sales increased by 35.6% month on month. Consequently, the AMVI highlighted a fall in available stock, down by 11.4%.
It took 45.1 days on average for a dealer to sell a car to a retail customer, in line with January’s report. It is perhaps unexpected for stock days to remain level in a month when the sales rate increased. However, February’s abnormality occurred because stock remained unsold over the festive period.
BEVs were the fastest-selling powertrain at 36.9 days on average. This was eight days quicker than the market’s average and underlines how popular used BEVs have become. That said, RVs remain sensitive to even the smallest increases in volume.
The wholesale market was reasonably buoyant throughout February. There was a noticeable reduction in supply, which is common in the run-up to the plate change in March. Dealers will be hoping that the month provides a big increase in fresh stock. It will be interesting to see whether this has any effect on auction hammer prices.
Demand for used cars appears to be in decline across Europe, but how does this balance with supply? Autovista Group experts explore used-car market trends across Europe with Autovista24 editor Tom Geggus.
Major European used-car markets reported double-digit drops in demand during January. The sales-volume index (SVI) for two-to-four-year-old cars declined both month on month and year on year.
The SVI indicates that compared with December 2024, Spanish dealerships saw the greatest drop in demand, down 53.5%. This was followed by Germany (down 28.6%), Austria (27.2%), Italy (down 26.7%), Switzerland (down 24.1%), and the UK (down 19.7%).
This decline could be considered a seasonal effect, but these markets also saw the SVI fall compared to January 2024. The SVI dropped by 45% in Spain, the UK by 37.9%, and Germany by 26.6%. Italy followed, falling by 18.7%, Switzerland by 11.2% and Austria by 10.7%.
Many of these countries saw the SVI decline in previous months. However, January’s decline marks a more dramatic and consistent cross-market trend. The SVI was far from the only market indicator to flash red in January, however.
Supply also fell compared to December 2024 according to the active-market volume index (AMVI). Spain reported a year-on-year decline of 40.3%, Germany of 25.5%, and Italy of 24.1%. Used-car adverts declined by 13.1% in the UK, 12.3% in Switzerland, and 9.3% in Austria.
So, many of these markets are seeing supply and demand decline at relatively equal rates. This will mean no additional pressure on residual values (RVs), which are already forecast to decline across many European markets in the next three years.
Austria sees demand decline
The Austrian SVI continued to fall in January after declining in December. The number of sales observed sharply decreased by 27.2% compared to the previous month. The SVI indicated a year-on-year decline of 10.7%.
Meanwhile, the AMVI of two-to-four-year-old passenger cars remained stable in January compared to December. However, the supply volume of passenger cars in this age bracket slumped by 9.3% compared to the previous year.
‘At 65.8 days, the average amount of time needed to sell a used car decreased significantly in January,’ highlighted Robert Madas, Eurotax regional head of valuations, Austria and Switzerland. ‘This was around four days faster than in December.’
Diesel vehicles continued to be the fastest-selling powertrain, averaging 60.1 days. This was followed by full hybrids (HEVs) at 64.3 days, plug-in hybrids (PHEVs) at 63.8 days and petrol vehicles at 67.5 days. Battery-electric vehicles (BEVs) took the longest amount of time to sell at 85.7 days.
RVs of 36-month-old cars at 60,000km presented as a percentage of the original list price (%RV), increased to 48.3% on average in January. This was a 0.9 percentage point (pp) increase compared to December but a 4.7pp decrease year-on-year.
HEVs retained the greatest trade value in January at 52.2%, followed by petrol cars at 50.5%. Then came diesel models with 48.1% and PHEVs with 45.8%. BEVs again retained the lowest amount of value, at 41.6%.
In the coming years, %RVs are expected to decrease but at a slower pace. This is due to weakening demand and unwavering supply. By the end of 2025, %RVs are expected to decrease by 2.2%. In 2026, a slight year-on-year drop of 1.1% is expected.
SVI falls in Germany
‘Following a slight increase in December, Germany’s SVI showed a significant decrease in January,’ said Madas. ‘Month on month, this metric was down by 28.6%, year on year, there was a 26.6% drop.’
The AMVI of two-to-four-year-old passenger cars remained stable compared to December. The metric fell slightly by 2.6%. However, the supply volume of passenger cars in this age bracket dropped by 25.5% year on year.
The average number of days needed to sell a used car decreased to 58.7 days in January. BEVs sold the fastest, taking just 52.7 days. However, analysis has revealed that BEV adverts had significantly more price changes than other powertrains. BEVs were followed by PHEVs at 55.1 days. Then came diesel after 56.7 days, followed by petrol cars after 62.1 days and HEVs after 62.4 days.
Absolute RVs of 36-month-old cars at 60,000km remained stable in January. However, the %RV decreased due to a methodological effect. Higher new-car prices from 2022 are now being used to calculate the rate of RV retention.
These greater prices are resulting in lower %RVs. In January, models held an average %RV of 47.7%. Petrol cars led the market with a %RV of 49.5%. HEVs hit 49.4%, diesel models 48.6% and PHEVs 44.2%. BEVs retained the lowest amount of new-car list price of 37%.
As demand remains rather weak and supply persists, RVs can be expected to come under even more pressure. By the end of this year, %RVs are forecast to decrease, down 2.6% when compared with December 2024. Pressure will probably ease in 2026, and RVs will follow a declining trend of 1.4%.
Value decline expected in Italy
‘Last year, %RVs followed a downward trend in Italy,’ explained Marco Pasquetti, head of valuations, Autovista Group Italy. ‘In January, these values provided a surprise, as %RVs reached 50.2%, up from 48.7% in December 2024.’
However, this cannot be interpreted as a reversing trend. Instead, it is a symptom of seasonality, with a significant decline in values expected in the coming months. This year will present some significant challenges, which could drastically change the market scenario.
This includes the implementation of new CO2 emissions targets and competition with new manufacturers that have undergone consolidation. There may also be new policies designed to protect local production. However, %RVs on the Italian used-car market are currently expected to end the year down 3.7% year on year.
On average, used cars sold within 63.4 days, 1.6 days more than in December 2024, but 5.1 days fewer than a year ago. The fastest-selling powertrains were compressed natural gas (CNG) and liquid petroleum gas (LPG) at 42.9 and 44 days respectively.
HEVs also performed well, spending 59 days in stock. PHEVs and BEVs were well above the market average at 73.8 and 82.2 days respectively.
January’s fastest-selling models included the Dacia Sandero, the Dacia Duster and the Toyota Yaris Cross. Also making an appearance was the DR 4.0, a model marketed by local carmaker DR Automobiles. The brand is probably still little known outside Italy, but it holds a significant share of the local market.
Price resilience in Spain
Spain began 2025 in a good macroeconomic situation, with demand stimulated and optimism for much of the automotive sector. Accordingly, new-car sales grew in 2024, setting the country apart from other major European markets.
Last year’s figures were largely driven by Spain’s rental sector. This increased the supply of young used cars considerably and raised stock levels across all age groups. Young used cars sell more quickly due to higher demand. However, the oversupply also means greater pressure on transaction prices, which have fallen considerably.
‘Despite spending more time in stock, three-year-old used vehicles showed great price resilience,’ said Ana Azofra, Autovista Group head of valuations and insights, Spain.
The average price of a three-year-old car reached €19,621 in January, €266 more than in December. It took 80.5 days on average to sell these models. This was 8.2 days more than a month earlier and 6.5 days longer than January 2024.
The Renault Arkana sold in less than half this time at 37 days. This made it the fastest-selling model on the Spanish used-car market in January. It was followed by the Kia Sportage and the Toyota Yaris, a regular model in the ranking.
So, despite increasing stock days, January saw a very good RV performance. This came after a positive trend at the end of the year. The performance was also influenced by policies at the beginning of 2025. This lifted pressure on dealer networks to achieve targets and rebates.
Switzerland’s SVI decline
The SVI in Switzerland dropped significantly in January after only a slight decrease in December. The number of sales observed decreased by 24.1% compared to the previous month. Year-on-year, the SVI dropped by 11.2%.
‘Meanwhile, the AMVI for two-to-four-year-old passenger cars decreased slightly by 1.8% from December to January. Compared to 12 months ago, this indicator slumped by 12.3%,’ said Madas.
Influenced by constant supply but declining demand, RVs of 36-month-old cars at 60,000km dropped slightly in January. Last month, %RVs fell to 45.9% from 46.4% in December. However, the year-on-year drop was more severe, down 3.1pp from the values recorded 12 months ago.
HEVs retained the most value in January by far at 50.6%. Then came petrol cars (47.1%), diesel models (44.5%) and PHEVs with 43.5%. BEVs were once again the worst-performing powertrain. All-electric cars retained only 40.3% of their original list price after three years and 60,000km.
‘January saw two-to-four-year-old passenger cars sell slightly more quickly than in December. These vehicles spent 80.3 days in stock on average,’ Madas pointed out.
Diesel cars sold fastest at 76.2 days, followed by HEVs at 78.2 days and petrol models at 78.4 days. BEVs took 84.7 days, showing a significant year-on-year decrease of 7.4 days. Meanwhile, PHEVs needed the most time to sell at 93.5 days on average.
A trend of relatively stable supply and low demand will continue as various uncertainties shroud 2025. Therefore, %RVs are expected to decrease in the next years, but at a slower pace. By the end of 2025, %RVs are expected to decrease by 3.7%. In 2026, a slight year-on-year drop of 1.5% is expected.
No decline in supply for UK
The average three-year-old car retained 52.7% of its list price in the UK during January 2025. This was 1.7pp higher than in December 2024. However, it is important to remember that the ‘plate effect’ plays a part.
Nevertheless, comparing the RV development of last month with January 2024, there was only a 0.6 pp fall. A year earlier, there was a drop over 10pp, indicating that the used car market has become far more settled.
The SVI shows a fall in retail sales of 19.7% compared to December’s report. This covers the 30 days to 8 January, a period when big-ticket purchases tend to be less popular. However, looking back on 12 months ago reveals a more positive retail sales result.
‘As is often the case when the SVI shows a negative position, the AMVI shows an increased level of advertised models,’ explained Jayson Whittington, Glass’s chief editor, cars and leisure vehicles. ‘In January, there were 5.4% more cars up for sale on dealer forecourts.’
Reasonably strong wholesale activity was reported in January. However, auction hammer prices declined throughout the month and RVs are expected to follow suit. A balanced supply and demand dynamic is forecast this year.
This means significant RV drops, like the ones seen in recent years, are not expected. Values are currently expected to fall by approximately 3% by the end of this year.
How did residual values (RVs) perform at the end of last year, and what used-car market factors drove their development? Autovista24 editor Tom Geggus explores 2024’s final figures with Autovista Group experts.
Many of Europe’s major used-car markets saw residual values follow a declining trend across 2024. In December, Austria, Germany, Italy, Spain and Switzerland all hit new lows for 2024. Only the UK saw RVs, presented as a percentage of retained new-car list price (%RVs), bounce back, albeit only slightly.
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The %RV of a three-year-old car at 60,000km hit 46.4% in Switzerland in December, down from 49.5% a year ago. Austria’s values sat at 47.7%, down by 5.3 percentage points (pp) year on year. Italy’s values fell by 4pp to 48.7%. Values in Germany were only slightly higher at 49.6%, down from 54.1% recorded in the same month of 2023.
Meanwhile, the UK saw %RVs reach 51% at the end of 2024. This was up from a low of 50.1% in July, but down from 55.6% in December the previous year. Three-year-old used cars retained 53.9% of their original list price in France last month. Spain recorded one of the highest %RV levels at 58.7%. However, this was down by 2.6pp year on year.
Values under pressure in 2024
Under normal circumstances, such a downward trend might be cause for concern. However, the conditions under which European used-car markets have operated in recent years have been far from normal.
Supply and demand have been at odds amid challenging global events. The COVID-19 pandemic prevented the production of new units, prompting consumers and businesses to hold onto their current vehicles. Supply to the used-car market dried up, while demand for personal transportation continued to rise.
Many European markets saw residual values inflated to extraordinary levels between 2021 and 2022. It was not until 2023 that RVs began to show signs of stabilising. As the world emerged from lockdown and new cars became available, the used-car market started to see more stock.
As the scales of supply and demand moved yet again, RVs began to deflate. Therefore, the current downward trend can be thought of as market normalisation. However, this process is far from over as values as still relatively high.
%RVs in Italy were 8.9pp higher last month than in December 2020. Spain saw a similar result with levels up 8.4pp. Germany was up by 7.3pp, Switzerland and France were up by 5.9pp. The UK and Austria saw higher levels by 4.6pp and 4.3pp respectively.
So, what does 2025 hold for RVs? With global political upheaval, international conflicts, as well as the transition to cleaner and smarter mobility, there are many influencing factors.
Slower drop expected in Austria
Following an increase in November, Austria’s sales-volume index (SVI) dropped in December. The number of observed sales fell by 6.6% month on month. However, the SVI was 6.2% higher year on year.
Meanwhile, the active-market volume index (AMVI) of two-to-four-year-old passenger cars remained almost stable in December compared to November. However, this means that the supply volume of passenger cars in this age bracket slumped by 10.9% compared to the previous year.
‘At 70.5 days, the average amount of time needed to sell a used car increased in December. This was around two days longer than November,’ said Robert Madas, Eurotax regional head of valuations, Austria and Switzerland.
Diesel vehicles continued to be the fastest-selling powertrain, averaging 60.1 days last month. This was followed by plug-in hybrids (PHEVs) at 73 days, petrol vehicles at 76.6 days and full hybrids (HEVs) at 82.3 days. Battery-electric vehicles (BEVs) took the longest amount of time to sell at 84.2 days.
The average %RV of a 36-month-old car at 60,000km in Austria decreased slightly to 47.4% in December. This was a 0.3pp drop compared to the previous month and a 5.3pp drop year on year.
HEVs retained the greatest amount of trade value in November at 51.7%, followed by petrol cars (50.1%). Then came diesel models (46.9%) and PHEVs (44.6%). BEVs again retained the lowest amount of value, at 41.2%.
In the coming years, %RVs are expected to fall, but at a slower pace. This is due to weakening demand and unwavering supply. By the end of 2025, %RVs are expected to decrease by 2.2%. In 2026, a slight year-on-year drop of 1.1% is expected.
Stability for values in France
‘RVs remained quite stable in France during December. Some powertrains saw slight value increases, mainly due to the higher list prices of observed vehicles,’ explained Ludovic Percier, Autovista Group residual value and market analyst for France. Petrol %RVs fell in the month, although values were relatively stable in November.
Diesel was also stable in December, with some models enjoying marginal increases in RVs. Used demand has remained for the fuel type, as volume and model offerings have shrunk on the new-car market. This has cemented diesel’s position as the fastest-selling powertrain on the French used-car market.
HEV values were consistent in December, with the time needed to sell a used model falling by almost four days. The powertrain is still appreciated in the new and used-car markets, providing stable RVs.
‘The technology is currently the best compromise between full internal-combustion engine (ICE) models and BEVs. There is no need to plug in, and some small HEVs are becoming more affordable,’ added Percier.
Slower selling powertrains
PHEVs were the second slowest-selling powertrain. However, greater ranges on newer models may help bolster RVs. There is still an oversupply of PHEVs on the used-car market, as high new-list prices explain the poor value retention.
With their values taking the greatest drop compared to November, BEVs saw the lowest RVs. The powertrain also took the longest amount of time to sell.
Tesla had the fastest-selling all-electric cars, while other brands struggled to find customers. The powertrain is stagnating in the new-car market, even as brands are pushed by the government to sell more BEVs. However, the used-car market is becoming saturated, with not enough potential buyers.
In December 2023, BEV purchase incentives became dependent on lifetime carbon emissions, making some vehicles ineligible. However, used models were still too expensive, causing prices to drop month after month. Where demand does not meet supply, RVs fall and prices slump.
Building pressure on values in Germany
Following a slight decrease in October and November, Germany’s SVI increased in December. Compared to the previous month, this metric was up 2.8%. However, levels were still down 9.1% year-on-year.
The AMVI, covering two-to-four-year-old passenger cars, increased by 5% compared to November. The supply volume of passenger cars in this age bracket dropped by 27.6% compared to the previous year.
The average number of days needed to sell a used car increased to 61 days in December. PHEVs sold the fastest at 56.9 days, followed by diesel at 58 days. Then came BEVs after 59.9 days. They were followed by HEVs after 62.6 days and petrol cars after 64.3 days.
Following weak demand, the RV of a 36-month-old car at 60,000km fell slightly in December. Models retained an average of 49.6% of their original list price, a drop of 0.4pp on November. This equated to a considerable decline of 4.5pp year-on-year, showing that pressure on RVs is increasing.
‘HEVs led the market with a %RV of 52.2%,’ highlighted Madas. ‘Then came petrol cars at 51.5%, diesel models at 50.2% and PHEVs at 45%. BEVs retained the lowest level of value at 38.2%.’
As demand drags and supply persists, values can be expected to come under even more pressure. In 2025, %RVs are forecast to decrease, down 2.6% when compared with December 2024. Pressure is expected to ease in 2026, and RVs will show a declining trend of 1.4%.
Italian values down
‘December held no surprises for the Italian used-car market,’ said Marco Pasquetti, head of valuations, Autovista Group Italy. ‘A trend observed throughout 2024 was confirmed, namely, all powertrains saw a sharp drop in RVs.’
Last month, the average %RV hit 48.7%. This was down from the 52.7% recorded in December 2023. BEVs suffered the greatest year-on-year drop of 5pp, hitting 30.5% on average. Average absolute values fell by €1,525, down 10.1%.
PHEVs also saw a significant drop in %RVs, down to 44.3% from 51% a year ago. This demonstrates how much the powertrain is struggling to gain a foothold in Italy. The country’s new-car market is also struggling to integrate BEVs.
Across 2024, ANFIA data shows that all-electric models made up 4.2% of registrations, exactly the same as in 2023. Meanwhile, PHEV’s share shrank from 4.4% in 2023 to 3.3% last year.
In 2025, RVs can be expected to keep falling, albeit at a slower pace than in 2024. Values will likely drop by 3.7% on average. However, much could change depending on the EU’s emission targets which are set at an average of 93.6 grams of CO2 per km across a carmaker’s fleet this year.
To avoid being fined, some carmakers might produce and sell fewer cars ICE-powered models. The used-car market could see demand increase as a result, which will in turn support RVs.
‘It is still too early to tell what will happen next,’ Pasquetti said. ‘Any incoming support for new-car sales could have the opposite effect. Therefore, the market will be under close observation in the coming months.’
Spain above the million mark
Spain saw its new-car market achieve over 100,000 registrations in December according to industry association ANFAC. This pushed the 2024 total above the one million mark for the first time since the COVID-19 pandemic. The country’s automotive industry will be hoping this momentum can be maintained throughout 2025.
The rental channel was undoubtedly the primary driver of growth, with sales up 119.4% in December and 36.8% across 2024. Additionally, the final quarter of the year saw companies prepare their fleets for the upcoming emission regulations.
‘Deliveries to private buyers only increased slightly,’ noted Ana Azofra, Autovista Group head of valuations and insights, Spain. ‘However, a portion of last month’s growth resulted from the devastating floods in Valencia.
‘As more than 120,000 cars were destroyed, some consumers were left with no choice but to replace their cars. Assistance plans from brands and the state remain in effect in the affected communities,’ Azofra added.
Lastly, the electrification of the Spanish market remains slow. According to ANFAC, 11.4% of new-car deliveries were BEVs and PHEVs last year, down from 12% in 2023. So, this year is likely to be a challenging one. For one thing, the industry will be trying to comply with the 25% share target under the Corporate Average Fuel Economy (CAFE) regulations.
A consistent ratio for Spain
The official 2024 figures for Spain’s used-car market are still pending. However, these are expected to exceed 10% growth compared with 2023. This will mean there were double the number of used-car transactions compared to new registrations. Therefore, the ratio will remain roughly the same, with 2.1 used vehicles sold for every new car delivered.
‘The task at hand is to reshape the country’s used-car market,’ Azofra said. ‘This means moving younger, safer and more sustainable models, with greater guarantees in the hands of professionals.’
Spain has seen some of the most resilient transaction prices, not only in the last quarter but across 2024. December even saw a slight price increase from November, with ICE-powered models enjoying an upswing. Meanwhile, other powertrains experienced slightly negative adjustments due to a considerable rise in electric stock.
In 2025, ICE models can be expected to see a more negative trend. This will be mirrored slightly by BEVs and PHEVs, while hybrid transaction prices remain stable.
Supply falls again in Switzerland
‘Used-car supply had returned to the pre-COVID-19 level in Switzerland, but incoming stock is now falling again. Increased living costs have also come down from 2023. However, new-car registrations continue to be very weak, unable to bounce back,’ said Madas.
The AMVI decreased significantly by 6.6% from November to December 2024. Compared to 12 months ago, this indicator slumped by 13.4%. The SVI also fell by 1.6% month on month and 1.5% year-on-year.
Influenced by constant supply and declining demand, RVs of 36-month-old cars at 60,000km dropped again. %RVs values fell to 46.4% in December from 46.8% in November. However, the year-on-year drop was more severe, down 3.1pp from values recorded 12 months ago.
HEVs retained the most value in December by far with a %RV of 51.1%. Then came petrol cars (47.6%), diesel models (45.1%) and PHEVs with 43.8%. BEVs were once again the worst-performing powertrain, retaining only 40.7% of their original list price.
December saw two-to-four-year-old passenger cars sell slightly quicker than in November, spending 81.9 days in stock on average. Hybrid cars sold fastest at 68.1 days, followed by petrol cars at 77.6 days and diesel cars at 79.3 days. PHEVs took 94.2 days, while BEVs needed the most time to sell with 98.9 days on average. This represented a significant year-on-year decrease of 6.9 days.
‘In 2024, the values of three-year-old cars kept falling, down by 6.3% year on year. This was still from a relatively high starting point at the end of 2023,’ Madas explained.
By the end of the year 2025, used-car values are expected to decline again by 3.7%. A trend of relatively stable supply and low demand will continue as various uncertainties shroud 2025. For 2026, a lower year-on-year drop of 1.5% is expected.
Values remain relatively high in UK
‘The average %RV of a three-year-old car fell to 51% in the UK during December 2024,’ highlighted Jayson Whittington, Glass’s chief editor, cars and leisure vehicles. ‘This was down from 55.6%, recorded 12 months prior.’
However, a reasonable proportion of the fall occurred in January, following poor trading conditions at the close of 2023. From December 2023 to January 2024, %RVs fell by 2.3pp. This came in a month when values would normally be expected to rise by 2pp due to the plate-change effect.
The UK used-car market improved throughout the first six months of 2024. By the end of June %RVs had only fallen a further 1.8pp from January, hitting 51.5%. The summer months are often lacklustre for car retailers as customers turn their attention to the holiday season. However, this year was different.
Retail activity was reportedly strong, with dealers needing to replenish stock more frequently. As a result, auction activity was buoyant, so hammer prices did not suffer the usual large summer swings. This gave dealers the confidence to buy for stock, instead of just replenishing what was sold.
This coincided with a noticeable drop-off in fresh stock hitting auction centres, a hangover from when new-car supply was constrained three years earlier. This led to a stabilisation in values with less depreciation than usual. Between July and December, RVs actually increased by 0.9pp.
Overall, values have fallen over the past two years. %RVs dropped by 6.2pp year on year in 2023 and 4.6pp this year. However, figures remain ahead of the average RV in December 2020, just before values rose sharply. At 51%, the current average %RV of a three-year-old car still exceeds the 46.4% recorded in December 2020.
