Average values fell by £411 in January, equivalent to a 6.3% drop compared to December’s record value, according to BCA’s latest Pulse report.

Despite the fall in the headline value, January 2012 is ahead of this time last year by £66 or 1.1%.

This supports BCA’s view that December’s record values were influenced by the shortened trading period, reduced volumes and a richer model mix.

There was a decline in average values in the fleet/lease sector where sold volumes increased by 70% on December.

Part-exchange values surged to a new high point in January. Values fell for nearly-new models, a result of changing model mix in this very low volume sector.

BCA’s communications director Tony Gannon said: “2012 saw the headline value fall month-on-month as was the case in January 2010, which may have been weather related. Despite this, values are up year-on-year and, with reasonably consistent demand, prices should be maintained at an acceptable level.

“The rise in average prices at the ‘value-for-money’ end of the market con-tinues unabated, a reflection of the current economic conditions.”

While fleet and lease values dropped by £223 (2.9%) to £7,435, January figures remain on a par with the generally higher values seen in the second half of last year.

CAP performance improved by just over one point to 97.58%, with the average age of three years and four months and mileage of just over 50,000 remaining reasonably static compared to previous months.

Year-on-year values were behind by £304 or 3.9%.

Part-exchange average values reached a new record level of £2,920, up £96 on December and equivalent to a 3.3% rise.

The last three months have seen two record monthly values established and January’s improvement came despite a near 75% increase in sold volume compared to December.