UK used LCV values remain near record levels, despite a monthly fall in February, according to BCA.

The auction company’s data showed that the average sale price in February was £10,441, down from the all-time record high of £10,812 in January.

However, February’s average ­– the second-highest on record – still represented an increase of £1,015, or 10.8%, year-on-year.

Although values remain high, BCA cautioned that external pressures affecting the wider economy were starting to have an impact on the used LCV market.

The company said that demand remained robust for vehicles in the best condition, although professional buyers were much less enthusiastic about vehicles with cosmetic or mechanical issues, with these vehicles becoming very price-sensitive.

BCA UK COO Stuart Pearson said: “External economic factors are increasingly having a greater effect on the wider used LCV marketplace, which is largely driven by the needs of the small business and independent trader sectors. These businesses will undoubtedly have been under pressure throughout the pandemic and are now having to deal with rising interest rates, increased energy and fuel costs and the widespread cost-of-living squeeze.

“While an LCV is a necessary tool of the trade for many small businesses, we have seen demand from professional buyers hot-up for vehicles in the best condition which is pushing up values for the best prepared, higher-grade vehicles, but creating pressure on lower-grade, older, higher mileage vehicles that need cosmetic or mechanical refurbishment before sale.

“This is a good time to remind sellers that the remarketing basics remain as important as they ever were. Where appropriate, mechanical and cosmetic repairs will add value and improve first time conversion, while the right level of preparation, an accurate appraisal, accurate descriptions and transparency around vehicle provenance will all contribute towards achieving optimum value and speed of sale.