Used EVs popular but retail prices continue to fall, reports Indicata

EVs remain at record levels of total UK used car sales
EVs now represent over 13% of sales in the <4 years-old market
Second-half ZEV mandate activity expected to pressure used values further

SALES of used EVs in the UK held record levels in June, making up 6.39% of all used car sales, according to the latest Indicata Market Watch report. In the segment of cars aged under four years old, EVs now represent more than 13% of total sales.

However, that growth comes amid continued price pressure. The average retail price of used EVs has now dropped to just 55.29% of the vehicle’s original new retail price — down from around 60% at the start of 2025. It’s the sharpest value decline of any fuel type this year.

The UK’s Zero Emission Vehicle (ZEV) mandate requires 28% of new car sales in 2025 to be zero-emission, but at the half-year point, new EVs account for just 21.6% of sales, the report says. That shortfall means manufacturers are expected to push significantly more BEVs into the market in the second half of the year to avoid stiff financial penalties.

As a result, a growing influx of new zero-emission vehicles is likely to enter both the new and used markets, adding to the existing stock without a clear export outlet for surplus.

Despite concerns around pricing, EVs remain among the fastest-selling vehicle types in the UK. In the under-four-years-old segment, the Jaguar I-PACE leads the way with a Market Days’ Supply (MDS) of just 22.4. The Tesla Model 3 and MG HS/EHS follow with an MDS of 25.7. MDS is calculated by dividing current stock by the average daily sales rate over the previous 45 days.

The UK-wide average MDS for EVs has improved significantly to 46, down from 90 at the start of the year, which reflects a healthier supply-demand balance overall.

“Used EV sales are still climbing, but it’s clear dealers are having to be more competitive on price to maintain that growth. What’s worrying is that supply is set to increase further, and values could come under even more pressure.”

Dean Merritt, Indicata UK head of sales Tweet

He added: “With rising volumes of nearly-new electric vehicles and limited demand growth, prices are vulnerable. There’s still caution across the wholesale market about stocking the wrong EV or too many at once

“We’re seeing more interest from our 2,000+ buyers in sourcing EVs, but there’s still a nervousness about resale values and how quickly stock will turn. Managing pricing and inventory mix will be critical in the months ahead.”

In terms of volume sales among cars under four years old, the Vauxhall Corsa continues to lead, followed by the Ford Puma and Kia Sportage, with the latter’s strong new car sales performance now being mirrored in the used market.

Download the full report here