Average van prices dip to 2010 low

Average Van Prices Dip to 2010 Low

CAP found prices of vans reached record levels in April 2010 as the average value reached £4,633 compared to a low of £2,772 in December 2008 at the height of the recession.

Since the high in April, slow summer sales and a shortage of certain types of vans has caused prices to drop to an average of £4,112.

Duncan Ward, BCA's General Manager Commercial Vehicles commented "We reported that seasonality was having a bigger effect on market dynamics in recent weeks. The summer months are traditionally quiet in terms of wholesale churn and this impacts directly on price."

However, Ward predicts a large increase in sales in September and October when the new 60-plates are introduced. Lower prices and a rush to avoid the VAT rise in January 2011 means prices will rise once again in the coming months.

He added: "The smaller numbers of new vans going 'on fleet' over the past 30 months or so means the marketplace may well experience a shortage of certain ages and types of product. This will inevitably lead to rising prices in an improving marketplace."

Despite the dip in average values, the average price of vans is still 15.3 per cent - or £546 - higher than the same period in 2009 and remains above the £4,000 figure first passed in December 2009.

The increased demand in the market will be a bonus for several UK-based van manufacturers such as Ford, whose Southampton factory produces the Ford Transit, and Vauxhall's Ellesmere Port plant, which builds the Astravan alongside the car versions of the popular supermini.