Used Volkswagen cars ‘retain value’

Used Volkswagen cars have maintained their value in Europe and continue to command a premium over the competition despite an emissions crisis that has damaged the brand and the image of diesel, credit-rating agency Moody’s said.

This will continue to support the performance of VW asset-backed security deals, in which residual values are a risk if they fall below the value of outstanding debt on car loans, in the key markets of Germany, the UK, France and Spain, it said.

But the ratings agency said it expected negative pressure on the value of diesel vehicles would increase, as regulation against diesel may come into force in cities like Madrid, Milan, Paris and Stuttgart as well as in Britain.