More than three in four used car dealers worried about 2026 stock crunch

The UK's used-car market is building back momentum, according to the latest data from the SMMT. But despite this growth, behind the scenes, dealers are worried about the future of stock availability. According to new research from Motorway [1], the UK's fastest-growing used car marketplace, the majority (78%) of used-car dealerships in the UK are more worried about stock availability heading into 2026 than they were this year, as the UK car parc shifts toward older and more electric vehicles - a trend that risks misalignment with consumer demand.

Of the 500 UK used-car dealership decision makers surveyed, 36% said that the affordability of stock is a top concern for the year ahead.

Stock sourcing challenges intensify

While UK dealers are used to changes in the used-car market, often driven by new car supply issues, and ongoing economic uncertainty, 74% think that they've already lost some sales due to stock scarcity, and 73% think this could significantly impact profitability next year [2]. Even when dealers are able to source the right vehicles, nearly half [3] (46%) say they're facing tighter margins as they look to remain competitive. When asked which cars were hardest to source and most in demand, dealers cited hybrid vehicles [4] (48%).

Other types of vehicles that were listed as harder to source included 3-5 year old petrol cars [5] (40%), 3-5 year old diesel cars (39%) and EVs (36%). Dealers attribute increased challenges in sourcing stock to greater competition from larger dealers (45%), challenges in finding the right stock at an affordable price (47%) and limited access to private seller stock (33%). Lisa McKenzie Crawford, Co-owner and Director of Bob Davies Car Sales [6], said that, "Finding the right stock has always been a challenge, but it's definitely become more competitive.

Everyone's chasing the same low mileage, well maintained vehicles, which is pushing prices [7] up. "We've had to adapt - going slightly older - but the fight for quality never disappears. We source our stock from up and down the country now via Motorway to give us access to a much broader range of vehicles.

For an independent dealer like us, that kind of reach is essential".

A move toward digital sourcing

While 34% of respondents admitted to still heading to auction houses to acquire stock, the vast majority (92%) agreed that digital sourcing will be essential in 2026 to remain competitive and access a wider range of stock options [8]. Of those considering - or already using - digital platforms for stock acquisition, hassle free payment options [9] (29%), access to exclusive inventory (33%), easy vehicle collection management (37%), and flexible auction times (30%) were cited as some of the most important features they look for in an online platform. Tom Leathes, CEO and Co-Founder at Motorway, said: "The UK used-car market is worth GBP100 billion and continues to show strong consumer demand.

But the headline growth [10] doesn't reflect the reality that many dealers are facing. Increased consumer demand [11] simply signals that the most-in demand stock is moving faster. In 2026, dealers will be looking for smarter, more efficient ways to access the right stock at the right time and the right price.

"We're proud to support our network of dealers on this journey, connecting them with thousands of privately owned vehicles every day, making the best stock more easily available to dealers."

References

^ Motorway (pro.motorway.co.uk)
^ impact profitability next year (londonlovesbusiness.com)
^ nearly half (londonlovesbusiness.com)
^ hybrid vehicles (londonlovesbusiness.com)
^ petrol cars (londonlovesbusiness.com)
^ Car Sales (londonlovesbusiness.com)
^ pushing prices (londonlovesbusiness.com)
^ stock options (londonlovesbusiness.com)
^ payment options (londonlovesbusiness.com)
^ headline growth (londonlovesbusiness.com)
^ consumer demand (londonlovesbusiness.com)