Wheels24

Used-van buyers mock LEZ laws

2012-01-05 09:30

Used-van buyers in London who want to meet new 2012 London Low Emission Zone regulations are men behaving badly.

Instead of buying four to six-year-old ex-fleet vans in good condition they want newish vans in poor condition with high odo readings - basically, anything  cheap and nasty that officially meets the Euro 4 anti-pollution regulations set in October 2006.

DEALERS' BONANZA

The result has been a major increase in residuals of high-mileage vans in poor condition; some have appreciated in value by as much as half in the past few months to leave used-van traders and franchised dealers up to their gills in four to six-year-old vans in anticipation of the change in regulations having to rethink their marketing strategy.

Those used-van retailers already stocked with sub three-year, cheap product in the London area are enjoying a bonanza.

Alex Wright, Shoreham Vehicle Auctions' managing director. said: "We've seen buyers bidding for cheap, damaged, high-mileage vans registered post-October 1 which has in turn increased prices dramatically. A Ford Transit Connect or Vauxhall Combo that would have been worth £1000 five months ago is now selling for £1,500.

“These buyers coming out of a nine to 15-year-old van are short-trip small businesses who can’t or don’t want to get finance. The result is them turning their attention to the cheapest vehicle possible to avoid being penalised - is a complete U-turn in industry-predicted buying patterns."