cap hpi will continue to move values as second England lockdown hits
Utilising robust data sources to reflect accurate vehicle values and support trading as restrictions take effect until 2nd December 2020.
cap hpi, the UK’s leading provider of new vehicle data, confirms it will continue to move vehicle values during England’s second lockdown.
cap hpi paused adjusting values during the first lockdown in April and part of May. This was due to scarcity of sold data and a responsible approach to not affect automotive businesses’ “bottom line”.
The latest decision comes as many of the nation’s retail and wholesale businesses have signalled their intent to remain open and selling during this time, having made strategic efforts to establish and develop new or pre-existing online sales models to continue trading should further lockdown restrictions be imposed.
This will not only allow businesses to continue trading, but provides cap hpi with the robust data sources required to reflect accurate vehicle values that can be updated in its systems on a daily basis.
Recent analysis by cap hpi showed that used values had dipped by an average of 2.1% in October, in the first fall since March. While the economic uncertainty has brought this decline into sharper focus, other traditional market nuances have also been at play. For example, values often drop in the final quarter of the year, by varying degrees, as demand reduces in the lead up to Christmas and supply levels often increase. Used car values are also higher than they were a year ago, a situation that is rarely sustainable.
Experts at cap hpi have moved to share guidance and reassure that service and accurate data provision will continue despite the ensuing lockdown restrictions to help its customers to continue to trade effectively.
Derren Martin, Head of Valuations UK at cap hpi, said: “We have understandably received a lot of queries about whether we will be moving values during the lockdown that has begun this week. Our decision to continue doing so reflects the activity we continue to see across the market. Despite the recent dip in used values we often see this time of year, cars and vans are still selling both in trade and retail even during a period of heightened economic uncertainty. Retail and wholesale businesses are also better established to sell online this time around and we don’t anticipate volumes to reduce significantly.
“We want to assure customers that we will continue to move used values responsibly, based on trade sales data and retail advert evidence. In the unlikely event that sold volumes decline significantly, we can review this decision at any time and take swift action to ensure vehicles are priced accurately and easily during this time. Let’s keep the industry open, in a safe environment.”
cap hpi will proactively monitor data sources and wider market activity as lockdown measures progress over the course of the new few weeks and in line with further Government announcements.