End of Year Review: Used Car Prices in 2025 - What Actually Happened and What’s Next for 2026

At TopCarCheck, we saw search numbers rise sharply as drivers tried to understand why the market felt so uneven. The data painted a picture of a used car landscape that was not returning to normal at all. It was evolving into something new.

Here is the full breakdown of what changed, what surprised buyers, and what to expect as we head toward 2026.

How Used Car Prices Actually Moved in 2025

Instead of a steady decline, the market split into distinct behaviours. Key shifts included:

• Hatchback prices dropped early then stabilised

• EVs lost value faster than expected

• Hybrids held steady

• Diesel saw a small recovery

• SUVs stayed surprisingly strong

• Cheap older cars rose sharply in price

There was no single market direction. Each category reacted differently to fuel prices, regulation changes, insurance costs, supply levels, and buyer demand.

2025 Price Change Overview

To help visualise the changes, here is a quick comparison of the main vehicle segments and their movements:

Used Car Price Changes in 2025

Only certain parts of the market fell sharply. Others stayed firm or even increased.

Hatchbacks Finally Became Affordable Again

The biggest relief for most buyers was the price drop among small hatchbacks. Models like the Ford Fiesta, Vauxhall Corsa, Toyota Yaris, and SEAT Ibiza finally returned to sensible pricing.

Reasons for the drop included:

• Steady supply from PCP returns

• Buyers moving toward SUVs

• Higher insurance costs affecting younger drivers

• More realistic pricing from dealers

For the first time in years, buyers could browse and compare without feeling forced into overpaying.

EV Prices Took the Hardest Hit

Electric vehicles were the headline story of 2025. Their values dropped more dramatically than any other category.

Why EVs depreciated faster:

• Charging costs did not fall as expected

• Buyers worried about ageing batteries

• Early EV tech aged quickly

• Cheap new EV models undercut the used market

• Range expectations changed as newer models reached 300 plus miles

Early Nissan Leaf, Renault Zoe, and Hyundai Ioniq models saw the steepest decline.

Drivers considering a used EV should always check its history. Many older EVs have had battery replacements, and TopCarCheck helps verify mileage, ownership changes, and potential red flags.

SUVs Stayed Strong Despite Predictions

Almost everyone predicted SUV prices would slide in 2025. They did not. Demand stayed high, supply stayed tight, and families still wanted space and comfort.

SUVs that held value:

• Nissan Qashqai

• Kia Sportage

• Hyundai Tucson

• Ford Kuga

Diesel SUVs dropped slightly, influenced by ULEZ restrictions, but petrol SUVs remained surprisingly resilient.

Diesel Saw a Small Revival

Diesel prices stabilised after years of decline. Long-distance drivers still appreciated their efficiency and torque, especially when fuel costs fluctuated.

Reasons for the revival:

• Excellent motorway fuel economy

• Strong reliability from newer diesel engines

• More fleet cars entering the market

• Real world running costs beating petrol and EV alternatives

Drivers travelling 15,000 miles a year often found diesel the cheapest long term option.

Budget Cars Became the Hardest to Buy

Anything under £4,000 became more expensive. This category behaved differently from the rest of the market.

Why cheap cars rose in price:

• Insurance soared for young drivers

• High demand for safe, small starter cars

• Many older models reached end of life

• Fewer reliable cheap cars entered the market

This made 2025 one of the toughest years in a decade for finding a good first car.

How History Checks Shaped Buyer Behaviour

More drivers used vehicle history checks than ever before. This changed the market in several ways:

• Buyers refused cars with questionable mileage

• Accident damaged cars were identified earlier

• Finance flagged cars got rejected quickly

• Sellers were pressured to be more transparent

• Negotiations became data driven

• Buyers avoided costly surprises

TopCarCheck helped thousands of drivers avoid scams, hidden issues, and overpriced vehicles.

This trend will grow in 2026 as buyers become more cautious and better informed.

What Buyers Prioritised Most in 2025

TopCarCheck data and market behaviour showed that drivers focused on:

• Running costs

• Fuel efficiency

• Insurance group

• Full service history

• Vehicle price stability

• Reliability over brand loyalty

Fancy extras mattered less. Real world costs mattered more.

Cars That Held Their Value Best in 2025

These models stayed strong from January through December:

These cars were not the cheapest, but they offered the best long term value.

Cars That Lost the Most Value in 2025

These models took the hardest hit:

• Early EVs like Leaf, Zoe, Ioniq

• Large saloons including Mondeo and Passat

• Older MPVs

• High mileage luxury diesels

• First generation compact SUVs

These became bargains for buyers who valued practicality over resale.

What to Expect in 2026

Based on end of 2025 data and early indicators, here is what the UK used market is heading toward:

1. EV prices will fall further

New affordable electric cars will keep pushing older EVs down.

2. Hatchbacks will stay fairly priced

Supply is strong and insurance remains high.

3. SUVs may finally soften

More models will enter the used market and level out prices.

4. Budget cars will remain expensive

Demand from first time drivers will stay high.

5. Buyers will rely more on history checks

With scams rising, checks will become non negotiable.

6. Reliability will matter more than badge appeal

Drivers are choosing long term value over branding.

How to Get the Best Deal in 2026

If you plan to buy a used car next year, follow these steps:

• Track prices weekly instead of guessing

• Avoid cars without full MOT history

• Always run a full check with TopCarCheck

• Be open minded about colour and trim

• Use real market data when negotiating

• Consider hybrids for long term savings

Information is your strongest advantage in a changing market.

Conclusion - 2025 Was Not Predictable, But It Was Important

Rather than delivering the expected drop, 2025 gave the UK a mixed year of rising values, falling segments, and new trends. The used market is reshaping itself, and what mattered five years ago no longer defines value today.

As we move into 2026, drivers need to stay informed, analyse the market, and protect themselves from risks. A full vehicle history report from TopCarCheck is one of the smartest first steps. The more you know about the car, the more confident and cost effective your decision will be.

The market will keep shifting, but with the right data, you will always stay one step ahead.