Buckle up, car buyers! The used car market is experiencing some dramatic shifts, especially for electric vehicles (EVs) and hybrids. According to the latest AA Cars Used Car Index, prices for these in-demand models have taken a tumble. But, let's dive deeper into the specifics.
Over the last quarter of 2025, the average asking price for the 20 most-searched-for EVs and hybrids on AA Cars dipped slightly to around £16,826. However, some models saw much steeper price cuts.
The Hyundai Ioniq experienced the most significant price drop, plummeting by £2,789, from an average of £14,881 to £12,092. The Nissan Leaf also saw a considerable year-on-year decrease, now worth nearly 40% less than a year prior.
But here's where it gets interesting: the report also highlights that not all electrified models followed this trend. Nearly half of the most-searched-for electric models actually became a bit more expensive during the same period. This includes the Toyota Yaris hybrid, the Tesla Model 3, and the Renault Zoe. This could suggest that demand for these specific models is holding up better than others.
The report attributes these price drops to a surge of company and rental EVs entering the used market. This, combined with manufacturers cutting prices on new EVs, created a ripple effect, pushing down used car prices. Increased consumer confidence in some popular models also played a role.
The good news? Used EVs are becoming more affordable, opening the door for drivers who previously couldn't justify the cost. This is further supported by a wider selection of models and advancements in charging technology and infrastructure.
In contrast, the prices of used petrol and diesel cars fell at a faster rate during the same period. The average price of the 20 most-searched-for petrol and diesel models dropped by 5.4% in the last three months of 2025, reaching approximately £10,968.
This faster decline is partially due to the usual increase in used-car supply after September's number plate change, when more part-exchanges and fleet vehicles enter the market. Additionally, drivers are increasingly mindful of overall ownership costs, including insurance, fuel, and the impact of clean-air regulations.
So, which cars saw the biggest price cuts? Here's a quick rundown of the top 7 used cars with the most significant price slashes at the start of 2026:
- Hyundai Ioniq (EV) – New average price: £12,092; down £2,789 (-18.7%)
- Hyundai i10 (petrol) – New average price: £8,864; down £1,458 (-14.1%)
- Nissan Micra (petrol) – New average price: £6,918; down £708 (-9.3%)
- Land Rover Range Rover Evoque (diesel) – New average price: £18,527; down £1,720 (-8.5%)
- Audi A1 (petrol) – New average price: £15,035; down £1,373 (-8.4%)
- Ford Fiesta (petrol) – New average price: £7,747; down £692 (-8.2%)
- Volkswagen Polo (petrol) – New average price: £11,627; down £942 (-7.5%)
The Ford Fiesta is the most searched-for petrol and diesel model, even after its discontinuation in 2023, showcasing its enduring popularity.
Controversy Alert: The data suggests that the used car market is generally getting cheaper across all types of cars, but the rate of decline varies. Do you think the shift towards EVs is happening fast enough, or are there other factors at play? Share your thoughts in the comments!
