The fuel price shock caused by the Iran War has become the biggest driver of rising used electric car demand, according to dealers surveyed by Startline Motor Finance.
August’s Startline Used Car Tracker asked dealerships to rank eight factors behind the recent strengthening of the used EV market following reports of higher demand, firmer prices and faster stock turnaround.
Dealers ranked higher fuel costs first, followed by increased choice as more used EV stock becomes available and attractive pricing.
Other factors included electric cars becoming more commonplace, improvements in the visibility of charging infrastructure, reduced concerns over battery failure and the growing use of battery health checks.
Dealers see EV market turning
Paul Burgess, chief executive of Startline Motor Finance, said: “Almost universally, we’re seeing data and hearing conversations suggesting the used EV market has turned a corner, and thought it would be useful to get a dealer perspective on why this is happening.
“Overwhelmingly, the majority of motor retailers backed the top three answers in our survey – the fuel shock, higher levels of choice that have emerged as volumes of electric car stock have increased, and competitive pricing.
“It seems dealers believe used car buyers are attracted by the low purchase price and running costs of EVs and can now more easily find a car that meets their needs. It’s a happy convergence of a range of factors.”
The findings suggest a combination of lower running costs, improving affordability and greater availability is helping widen the appeal of used electric cars.
85% expect growth to continue
Startline also found 85% of dealers expect the improvement in used EV demand to continue for at least the remainder of 2026.
Burgess said: “This is very encouraging and suggests dealers don’t see the current situation as a temporary boost but as a longer-term development. It may be that we are seeing the used electric car market begin to mature.”
The monthly Startline Used Car Tracker questioned 300 consumers and 60 dealers and was carried out by APD Global Research.
The tracker was launched in April 2022 to measure changing attitudes towards the used car market, including buying intentions, fuel choices, dealer confidence and the challenges facing the sector.
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