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BCA's The Used Car Market Report 2010 concluded the fall in new car sales would have a "profound effect" on dealers' business.

"Franchised dealers in particular are likely to face a marked and lasting shortage of used car stock in their traditional younger used car trading zone - cars up to five years old," it said.

There were 12.4 million 0-5 year old cars in 2005, falling to 10.8 million in...