British consumers are planning to spend around £1,000 less on second hand cars than they did in the second half of last year, according to a new report.
Research from Sainsbury's revealed that 5.48 million people have planned to buy a second hand car in the six months to the end of August.
They plan to spend an average of £4,056 each on the cars – amounting to a collective £22.23 billion.
The figures show a 14 per cent decrease in the amount people are planning to spend on second hand cars. Between September 2006 and February 2007, consumers intended to purchase cars for an average of £5,018.
"Sellers need to make sure they know the market value of a vehicle to ensure they get a good deal when they come to sell their existing car, or indeed come to buy a new one," said Steven Baillie, loans manager at Sainsbury's.
He said that people are anticipating spending around £1,000 less on second hand cars than they had done previously, but urged buyers to haggle to get the best price.
"Despite the fact that haggling can save the buyer hundreds or even thousands of pounds, many of us are reluctant to do this. Our findings reveal that over half of people who are intending to buy a second hand car in the next six months state they do not plan to haggle or will only haggle slightly."
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