Bike drought hits UK
Bike shortages, new and used, are driving up prices across the board. If you want a new bike and they have it in stock don’t dither…
Britain’s motorcycle market has turned into a feeding frenzy, with demand oustripping supply of both new and used bikes according to research by Bike. Prices for secondhand bikes have risen by as much as 20 percent in the last year according to dealers.
‘We’ve got about 30 percent of the used stock we would normally carry,’ says Mick Godfrey from Alfs Motorcycles in Worthing. ‘Partly that’s because of problems getting stock, but also because as soon as it comes in, it goes out. Prices are going up. If you want a decent used bike, there are no longer hundreds and hundreds to choose from, and dealers are thinking, “if I can’t replace it when it’s sold, I might as well try and make the best money from it”.’
Used prices up
Used prices have actually been rising since last June according to Alan Elsworth of industry price experts CAP. ‘The first big auction [of used bikes] after the first lockdown last year saw a ten percent average increase over the previous sale. That carried on and didn’t really drop off over winter as you’d expect. Trade buying has gone mad recently, particularly at auctions.’ From the six dealers Bike interviewed, used prices have risen by around 20 percent in a year. ‘I spoke to two dealers who bought at auction yesterday who said if it wasn’t for the fact they didn’t have any stock, they would never pay the money being asked at the moment,’ says Alan.
Foreign buyers
The shortage of used bikes is partly because of the pent-up demand created during lockdown, but also because of the pound’s weakness. ‘Dealers as far away as Poland, Croatia and Cyprus are increasingly looking to UK shores,’ says Alan. ‘Some analysts estimate 250,000 used bikes have been taken out of the UK market since 2008 and the increased competition, coupled with lower used stock levels, has resulted in increasing used values.’
New bike shortage
With used prices rising, several dealers reported buyers coming in for a used bike and leaving with a new one. ‘Because of used prices, we’re switching used buyers into new bikes,’ says Michael Hammon of Colin Appleyard Motorcycles. ‘My advice is to buy new because you’ll spend too much money on a used one.’
That’s easier said than done, because new bikes are also in short supply. ‘Who could have predicted that a microchip factory in Japan would burn down, freezing weather in Texas would create a shortage of resin they need to finish the plastics, and that a stupid boat would get stuck in the Suez canal?’ says Mick from Alfs. ‘Plus there’s Euro5 and bloody Brexit. If you want a new bike, buy it now. Don’t hesitate, because chances are it won’t be there tomorrow. I think stocks will be very, very low by the end of the year.’
‘Stocks will be very, very low by the end of the year…’