Fleets are considering putting disposal plans on hold until the spring when the government publishes the results of its review into how the new WLTP ratings will impact BIK and Vehicle Excise Duty.
ADESA Remarketing believes businesses are now likely to run existing vehicles longer, resulting in older and higher mileages cars being de-fleeted to the dealer wholesale market in 2019.
Jonathan Holland, managing director of ADESA Remarketing, said: “Fleets are faced with the prospect of being unable to make informed decisions on sourcing new vehicles until the government concludes its review.
“This means many businesses who had extended vehicle life cycles, as a result of the introduction of WLTP in September, will look to extend them further. Next year we can expect to see an influx of de-fleeted cars outside the traditional three-years/60,000 miles profile entering the wholesale sector and that could have an impact on desirability and values.”
Holland said the challenge facing the sector will be to remarket these cars as efficiently as possible to reduce the impact of book drops and achieve the best possible values for fleet customers.
He added: “With older stock the need for transparent vehicle descriptions is even greater than usual, as well as the ability to remarket the cars as soon as they become available through specialist upstream remarketing channels.”