Suppliers of cars up to five years old are set to return to pre recession levels over the next two year. That’s the view of automotive academic Professor Peter Cooke in BCA’s newly published report The Closer View: A National and Regional Market Review.

Cooke said a welcome trend for dealers will be the influx of used stock as PCP contracts come to an end and owners take out new ones.

“With PCPs fuelling higher private new car registrations over the past two years, around 350,000 additional first-time used cars will eventually enter the used car market, with further volume coming from trade-ins and private-to-private used car transactions typically necessary to part fund the new vehicle,” said automotive Cooke.

“Supplies of 0-5 year old used cars will start to return to pre-recession levels over the next two years, addressing the shortfall of some 1.3 million cars of that age recorded on the country’s roads at the end of 2013.” Cooke said the return of PCPs could undermine values to a degree, citing warnings from KPMG and EurotaxGlass in 2013. #

original Story Taken From – http://www.motortrader.com/industry-news/trade-urged-prepare-influx-pcp-stock/