Motorpoint is said to be on the brink of floatation on the stock market after being buoyed by the performance of the Auto Trader Group.

With the Auto Trader Group on the brink of entering the FTSE100 Sky News has reported that the privately owned business is working with bankers at Rothschild on a listing that is likely to take place in the second half of 2016.

BCA Marketplace, which is valued at £1.3 billion, has also been a strong performer over the last 12 months.

City sources told Sky News business reporters that Derby based Motorpoint could be floated for “several hundred million pounds”.

Motorpoint claims to have saved motorists more than £2 billion since it launched in the late 1990s by selling 500,000 vehicles at prices compared to traditional car dealerships.

The most recent accounts filed at Companies House for Motorpoint Limited show that turnover in the year to March 31, 2014 was £463.9 million, generating pre-tax profit of £8.3 million.