March delivered a strong performance for the used car market with faster sales and easing prices helping to boost dealer activity, according to the latest Market View from Cazoo & Motors.
Car supermarkets led the charge, increasing sales volumes by 24% month-on-month and 25% year-on-year, while franchised dealers recorded a 17% monthly uplift and a 7% annual rise. Independent retailers saw a 7% monthly increase, although sales were down 8% compared with March last year.
Buyer demand accelerated significantly in March, with average days to sell falling to 25, down from 30 in February and 32 in January. Franchised dealers recorded the fastest turnaround times at just 18 days, followed by car supermarkets at 20 days. Independents lagged behind at 43 days, although all three sectors improved both month-on-month and year-on-year.
Prices fall as EV stock rises
Pricing trends played a key role in stimulating demand. Average used car prices fell to £17,556 in March, down 0.8% month-on-month, marking the third consecutive monthly decline since prices peaked in December 2025.
Lucy Tugby, marketing director of Cazoo & Motors, said: “Many dealers experienced a strong March as consumer demand was boosted by good availability and competitive pricing. This was reflected in the best month we’ve recorded for lead generation across the Cazoo & Motors platforms.
“Our data shows some strong performances being achieved across all car retailing sectors, with franchised dealers retaining their used car focus during the plate-change.”
Used EV prices continued to fall, reaching £22,174, down 1.8% month-on-month and 9% year-on-year, marking a sixth consecutive monthly drop. Hybrid prices also declined to £23,896, down 0.5% month-on-month and 4% year-on-year. Dealer inventory levels held steady at an average of 52 units, slightly up from 50 units a year ago.
Stock mix electrifies
The mix of stock is continuing to shift as electrified vehicles gain share. Petrol cars accounted for 49% of dealer stock and diesel 30%, both declining year-on-year. EVs reached a record 10% share, up 42% year-on-year, while hybrids remained at 11%, up 10% annually. Combined, EVs and hybrids now represent one in five vehicles stocked by dealers.
Tugby added: “The ongoing price realignment of EVs is making them an affordable consideration for more buyers. This is reflected in the growing volumes being listed on our platforms, with March seeing an increase in models from new entrant brands such as Jaecoo and Chery, as well as established players such as Tesla.”
Across the first quarter, franchised dealers increased EV stock volumes by 3% year-on-year, while car supermarkets reduced stock by 4% and independents by 1%.
The proportion of alternative fuel vehicles rose from 17% to 21% year-on-year, with EV volumes up 37% and hybrids up 9%, despite prices falling by 7% and 3% respectively.
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