Currently reading: Salvage industry's future uncertain as new car shortage bites
Rising used car prices prevent cars from going to scrappers, increasing costs

Rising used car prices are pushing those that would have previously been written off or scrapped back onto the roads, with many vehicles being repaired by insurers rather than crushed – and this has left the salvage sector searching for aid.

As a direct result of reduced new car supply and sluggish registrations, bangers that would normally be destined for the crusher are now worth more than scrappers had previously been willing to pay, meaning many cars are getting a second chance.

Covid has also contributed to the shortage of scrap cars: fewer cars being driven during the lockdowns meant fewer were crashed and scrapped.

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