Ulez expansion prompts used car dealers to reject non-compliant part-exchanges

author: FutureCar Staff    

Used car dealers in London are facing challenges after the extension of the controversial Ultra Low Emission Zone (Ulez). The Ulez now includes London's outer boroughs, resulting in motorists throughout the entire capital facing a daily charge of £12.50 if their vehicles do not comply with emissions standards. The implementation of these new rules comes after a failed legal challenge led by five Tory councils in the High Court.

Car dealers in London are already feeling the impact of these measures. Independent retailers have reported a significant decrease in the value of non-compliant vehicles, which are now primarily being sold to buyers from outside London. On the other hand, some dealers have seen the value of Ulez-compliant vehicles skyrocket due to high demand.

McCarthy Cars in Croydon is one of the dealerships affected by the changes. Director Jim McCarthy expressed frustration with non-Ulez diesel stock, stating that they are difficult to sell in London. McCarthy Cars is now directing customers to platforms like WeBuyAnyCar to get rid of these non-compliant vehicles. However, McCarthy clarified that the majority of their stock is Ulez-compliant and that they are not currently selling cars for higher prices solely because of their compliance.

Uxbridge is another area that falls under the Ulez regulations. Ashraf Kassam, owner of Kassam Car Sales, shared that petrol cars are increasing in value, resulting in higher profits for his business. Non-compliant cars are primarily being sold to customers from outside London, while many Londoners are opting to buy new cars to comply with the Ulez standards.

Cottage Car Sales in Hayes has also experienced changes due to the Ulez expansion. A spokesperson for the dealership mentioned that many customers are trading in their older cars for compliant ones. The value of part-exchanged vehicles has decreased, while the prices of compliant cars have increased due to higher demand.

Auto Trader has analyzed the stock available from dealers to meet the Ulez rules. They found that there are currently 1,520 compliant cars for sale within a 50-mile radius of central London, costing under £2,000. Additionally, there are 10,553 compliant cars under £5,000 and 65,577 compliant cars overall in the same radius. Nationally, 88.9% of all stock was found to be Ulez-compliant. The cheapest compliant car on Auto Trader is a 2008 Ford Ka Petrol, priced at £1,386.

Reacting to these findings, Ian Plummer, commercial director at Auto Trader, advised those with non-compliant vehicles to explore their options. He suggested getting a valuation of their current vehicle on platforms like Auto Trader and considering the newly expanded scrappage scheme for vehicles valued around £2,000. For vehicles worth more, selling privately or to a dealer may be more profitable. Plummer emphasized that there is a wide range of affordable petrol, diesel, and electric compliant vehicles available, with the cheapest compliant models on Auto Trader starting from under £1,500.

FutureCar Staff