Consumer Scotland launches investigation into the used car market

A formal investigation has been launched by Consumer Scotland into the risks and challenges facing buyers in the country’s used car market.

Complaints about second-hand vehicle sales remain consistently high, and the inquiry aims to identify the most harmful issues while recommending ways to boost fairness, transparency and consumer confidence across the sector.

The investigation will cover the full range of used car transactions involving Scottish consumers, including purchases made online or from sellers based elsewhere in the UK.

Between April and June this year alone, there were nearly 160,000 used car transactions in Scotland.

But new evidence from Advice Direct Scotland shows that problems are widespread, with more than 19,500 complaints about second-hand car purchases recorded between April 2019 and December 2024. National data also places used cars among the leading causes of consumer harm in the UK.

Common complaints include faulty vehicles, misleading information, poor after-sales support and difficulties in resolving disputes.

The sector is also undergoing rapid change, with increased online sales, more complex finance arrangements, and the shift towards low-emission and electric vehicles all introducing new risks.

Consumer Scotland chief executive Sam Ghibaldan said: “While most transactions go smoothly, thousands each year end in frustration with consumers reporting a range of issues that are hard to resolve.

“This investigation will help us build a clear, evidence-based picture of the issues facing used car buyers in Scotland.

“We want to ensure consumers are better protected, better informed and more confident when making such a significant purchase in future.”

Andrew Bartlett, chief executive officer of Advice Direct Scotland, said: “Used cars remain one of the most common issues raised with Advice Direct Scotland, with thousands of consumers seeking help each year.

“We welcome the opportunity to work with Consumer Scotland on this investigation to improve outcomes, strengthen protections and build confidence in this important market.”

Alan Gall, chief executive officer of the Scottish Motor Trade Association, added: “As the voice of the automotive industry, the Scottish Motor Trade Association supports Consumer Scotland’s investigation as an important step toward clearer expectations, better understanding of rights and stronger trust across the market.

“Consumer confidence drives our industry and our members continually aim for excellence in how they serve customers.”

The inquiry will explore a range of consumer experiences within the used car market, drawing on new research, detailed analysis of complaint data and individual case studies.

Consumer Scotland has also issued a call for information, open until December 12, seeking input from consumer advice groups, enforcement and advocacy bodies, trade associations, industry representatives and dispute resolution organisations.