Van Market Update: Q4 Pricing & Supply Trends

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Published: 28 Oct 2025 | Last reviewed: 22 Jul 2026 | Reviewed by: VanCompare Editorial Team

The UK van market is entering Q4 2025 in a reset phase.

New-van registrations continue to fall, used-van sales remain resilient, and electric models are gaining share — slowly but steadily.

For tradesmen, couriers, and small-business owners, this shift changes not only what you buy but how you insure it.

Used Vans Lead the Market

Analysts at Cox Automotive and Fleet News report that UK buyers are prioritising used vans over new models. Close to a million used-van transactions are forecast for 2025, while new-van registrations are expected to decline year-on-year. This reflects cautious spending, longer replacement cycles, and the appeal of lower upfront costs.

Auction data from Manheim UK and BCA confirms strong demand for clean, low-mileage stock. BCA describes buyer competition as “very hungry for stock,” while Manheim notes record conversion rates and shorter sales times. In short: good vans still move fast.

Electric Vans: Progress with Limits

According to the Society of Motor Manufacturers and Traders (SMMT), battery-electric vans account for around 9 % of new registrations in 2025 — short of the UK’s Zero-Emission Vehicle (ZEV) target. Adoption is strongest among urban fleets, while long-distance operators remain hesitant due to range, payload, and charging access. Used-electric-van values remain volatile as buyers gauge long-term reliability.¹

Insuring Vans in a Changing Market

As values shift, so do insurance considerations.

Whether you’re switching to a used diesel or exploring an electric model, your policy must match how the van is actually used:

• Tradesmen should check that their cover extends to carriage of tools and materials.
• Couriers must hold Hire & Reward and often Goods in Transit protection to stay compliant.
• Switching to an electric van? Confirm breakdown recovery, charging-equipment cover, and battery-damage terms.

Price comparisons alone don’t capture these nuances — this is where regulated brokers add real value, ensuring compliance under the FCA’s Consumer Duty.

What This Means for Drivers and Small Businesses

• Buying: Supply has normalised; compare options and negotiate.
• Insuring: Match cover to work type and mileage; review terms before renewal.
• Planning: Factor full running cost — fuel or charging, maintenance, downtime, and insurance.
• Electric: Adopt only when range and charging align with your routes.

Bottom Line

The van market’s slowdown in new sales is being offset by a buoyant used-van sector and gradual EV growth.

For working drivers, Q4 2025 is less about chasing the cheapest purchase and more about buying smart, insuring right, and keeping total ownership cost under control.

Sources

1. Cox Automotive / Manheim UK – Forecasts showing shift from new to used vans; Manheim auction conversion and age/mileage trends. AM Online, 10 Sep 2025. https://www.am-online.com/news/clear-market-shift-from-new-to-used-vans-says-cox-automotive
2. Fleet News (Gareth Roberts) – Cox Automotive forecasts, Manheim performance, used-market residual outlook. 15 Sep 2025. https://www.fleetnews.co.uk/news/-shift-from-new-to-used-vans-in-commercial-vehicle-market
3. Fleet News (Gareth Roberts) – Fleet reluctance to adopt EVs; OEM pressure to include eLCVs in orders; SME budget constraints. 7 Feb 2025. https://www.fleetnews.co.uk/news/fleets-choosing-used-vans-to-avoid-buying-electric-lcvs
4. Society of Motor Manufacturers and Traders (SMMT) – July 2025 van-market data; BEV share below ZEV mandate. Fleet News, 6 Aug 2025. https://www.fleetnews.co.uk/news/new-van-market-decline-continues-electric-van-target-to-be-missed
5. Fleet News (Gareth Roberts) – BCA July 2025 used-van values (£7,817 avg) and rising buyer competition. 11 Aug 2025. https://www.fleetnews.co.uk/news/used-van-values-decline-in-july-but-up-55-year-on-year