10/09/2026
What happened to Cazoo? Its rise, fall and latest marketplace explained
Written By David Ross
Cazoo is still a familiar name in the UK to used car buyers, but the company today is not the same business as it was when it started out nor does it operate in the same way.
The original Cazoo was an online used car retailer. It bought cars, prepared them, sold them directly to customers and delivered them to their home or workplace. It was once described as the Amazon of used cars, floated on the New York Stock Exchange (NYSE) and was valued at around US$8 billion in 2021.
That version of Cazoo no longer exists.
The original business entered administration in May 2024 and its car buying and selling operations were sold off. The Cazoo brand was later acquired by Motors and relaunched in April 2025 as a used car marketplace.
That means Cazoo is now closer to a car search website than a direct online dealer. You can use it to browse used cars and vans listed by dealers, but you should check who is actually selling the car, what warranty applies, whether delivery is available and what return policy is being offered.
What was Cazoo?
Cazoo was founded in 2018 and became one of the best-known names in online used car retailing.
Unlike most used car websites, which list cars being sold by dealers around the country, the original Cazoo bought and sold cars itself. It owned the stock, prepared the vehicles and handled sales directly.
At its peak, Cazoo had 22 showrooms across the UK, although its main business was selling cars online. Cars were checked by its own team of mechanics at a large preparation site in the Midlands, plus it held around 1500 used cars in stock to help reduce delays in the buying process.
That allowed Cazoo to promise fast delivery, with cars delivered to customers' homes or workplaces in branded transport. It also offered finance, part-exchanges and a return period if the buyer was not happy with the car.
Cazoo’s marketing was hard to miss. Its television adverts, online campaigns and major sports sponsorships helped make it one of the most recognisable names in UK car retail. Sponsorship deals included football clubs, Welsh Rugby Union, horse racing, The Hundred cricket tournament, golf’s European Tour and the World Snooker Championship.
In August 2021, Cazoo was listed on the NYSE after merging with a special purpose acquisition company. At that point, the business appeared to be one of the biggest success stories in online car retail.
What happened to Cazoo?
Cazoo’s early growth was rapid, but its business model proved expensive.
After its stock market listing, Cazoo expanded into Europe, with operations in France and Germany before the end of 2021, followed by Italy and Spain in early 2022. That expansion came at a time when the UK used car market was beginning to move away from the unusual conditions created by Covid lockdowns.
The company also faced questions about vehicle preparation. In April 2022, a BBC Watchdog investigation raised concerns about Cazoo’s vehicle checks after customers reported serious faults on cars they had bought.
By June 2022, Cazoo had announced a redundancy programme to reduce UK staff numbers. Two months later it confirmed it was ending its European expansion, with further job losses.
The cost of buying stock, preparing vehicles, running delivery operations, funding expansion and maintaining high-profile marketing made investors increasingly nervous. Cazoo’s share price fell heavily and founder Alex Chesterman stepped down as chief executive in January 2023.
The business continued to shrink. Further redundancies and showroom closures were announced later in 2023. In 2024, Cazoo confirmed it would abandon its direct car-selling model and move towards becoming a used vehicle listing website instead.
On 21 May 2024, Cazoo entered administration. What remained of its car buying and selling operations was sold to other businesses, while the Cazoo brand and marketplace assets were later acquired by Motors.
Did Cazoo relaunch?
Yes. Cazoo relaunched in April 2025 as a used car search marketplace within the Motors network.
Motors said the relaunched Cazoo would become its flagship marketplace brand, joining Motors, eBay, Gumtree and Parkers in a wider advertising network for dealers. At launch, Cazoo was described as a dedicated used car search marketplace rather than a direct online retailer.
The current Cazoo site says buyers can browse cars and vans for sale from thousands of UK dealers. That is a very different model from the original Cazoo, where the company owned the cars and sold them directly.
So if you remember Cazoo as a place where you bought a car directly from Cazoo, with Cazoo delivery and Cazoo’s own return process, it is important to understand that the brand now works differently.
How does Cazoo work now?
Cazoo is now a used car marketplace.
You can search for cars and vans listed by dealers, compare vehicles and make an enquiry. The cars being advertised through the marketplace are being sold by unrelated dealers, so be sure to know who you are potentially buying from.
That means the exact buying process may vary depending on the dealer. Before paying a deposit or agreeing to buy, confirm:
Who is selling the car.
Whether the car is available to view.
Whether delivery is offered.
How much delivery costs.
Whether finance is available.
Whether a part-exchange is available.
What warranty is included.
What return or cancellation policy applies.
Whether the car has a recent MOT.
Whether a vehicle history check has been carried out.
What other customers reviews of the seller are like.
This is the main difference between old Cazoo and new Cazoo. The old Cazoo was the seller, the new one is marketplace where dealers advertise vehicles.
Is Cazoo still trading?
Yes, Cazoo still exists as a consumer-facing used car marketplace.
However, the original Cazoo online used car retailer entered administration in 2024. That distinction matters. The brand continues, but the business and its model has changed.
Is Cazoo legit and reliable?
Cazoo is a legitimate used car marketplace, but buyers should understand what that means.
You are not necessarily buying a car from Cazoo itself. You are usually looking at a car advertised by a dealer through the marketplace. That means the reliability of the buying experience will depend heavily on the dealer, the car and the terms of sale.
As with any used car marketplace, do not rely on the Cazoo brand name alone as an implication of a particular level of service and satisfaction. A marketplace can be a useful way to compare lots of cars quickly, but the usual used car checks still apply.
Does Cazoo deliver cars?
The original Cazoo delivered cars itself when it operated as an online used car retailer. Delivery was one of the main reasons the brand became so well known.
Under the current marketplace model, delivery will depend on the dealer advertising the car. Some dealers may offer delivery, while others may expect you to collect the vehicle or view it in person.
Before committing to a car, ask the dealer to confirm:
Who is responsible for transporting the car.
When the car will arrive.
What happens if the car is not as described.
Whether any distance sale cancellation rights apply.
Do not assume that the old Cazoo delivery process still applies.
Does Cazoo still buy cars?
The original Cazoo bought cars directly from customers as part of its online retail model. That helped it build the stock it later sold through its own website.
The current Cazoo is primarily a used car search marketplace. If you see valuation or sell-my-car services connected to Cazoo, check who is actually providing the service and read the terms carefully.
If you are selling your car, compare more than one valuation and be clear on whether the price is guaranteed, whether collection is included and whether the buyer can reduce the offer after inspection.
Does Cazoo offer finance, warranty or part-exchange?
The original Cazoo offered finance, warranty cover and part-exchange as part of its own buying journey.
With the current marketplace model, these services may depend on the dealer selling the car. One dealer may offer finance and part-exchange, while another may not. Warranty terms can also vary significantly.
Before buying, ask the dealer to confirm everything in writing. In particular, check:
The type of finance agreement available.
The total amount payable.
The APR.
The deposit.
The monthly payment.
Any optional final payment.
What warranty is included.
Who provides the warranty.
What is excluded from the warranty.
Whether roadside assistance is included.
The part-exchange value offered for your current car.
A headline monthly payment is not enough to compare finance properly. Always look at the full cost and the end-of-agreement terms.
Should you buy a used car through Cazoo?
Cazoo can be a useful place to search for a used car, but treat it like any other marketplace.
The main advantage is choice. A marketplace lets you compare lots of cars quickly by price, age, mileage, location, fuel type and specification. That can be especially useful if you are comparing closely related models.
For example, if you are looking at Volkswagen Group cars such as a Volkswagen Golf, Audi A3, Skoda Octavia, SEAT Leon or Cupra Formentor, a marketplace can help you compare different brands, trim levels and body styles within a similar budget.
But the key is to check the exact car, not just the brand or website. Look at the service history, MOT record, previous keeper information, warranty terms, finance details and vehicle history.
Before buying any used car through Cazoo or another marketplace, you should:
Check who the selling dealer is.
Read the advert carefully.
Compare similar cars elsewhere.
Check the MOT history.
Ask for service history.
Run a vehicle history check.
Inspect the car or arrange an independent inspection.
Confirm warranty and return terms.
Avoid paying large deposits before you are comfortable with the seller.
What happened to old Cazoo customers?
If you previously bought a car from the original Cazoo, your position may depend on when you bought it, what paperwork you have and who now handles any warranty, finance or aftersales issue.
If you have an old warranty, finance agreement or complaint, check the documents you were given at the time and contact the relevant warranty provider, finance company or administrator if needed.
If your car was bought on finance and you have a fault or unresolved dispute, contact the finance company as well as any warranty provider. Depending on the agreement, the finance company may have responsibilities too.
What this means for you
Cazoo still exists, but as a brand name, not the way the original company operated.
The old Cazoo was an online used car retailer that bought, prepared, sold and delivered cars itself. That business entered administration in 2024. The new Cazoo is a used car marketplace within the Motors network, where buyers can search vehicles advertised by dealers.
That does not mean you should avoid it, but it does mean you should use it in the right way. Treat Cazoo as a search tool, then check the dealer, car history, warranty, finance, delivery terms and return policy before you buy.
A familiar name can help you find cars, but it does not replace the usual checks that matter when buying used.
It's much easier to poke through the embers of a failed business and point out what it did wrong than it is to run a venture successfully in the first place.
Without being party to every strategic call those running the original Cazoo made, the key elements which ultimately resulted in its collapse can arguably be traced back to it growing too quickly.
Its business model of selling fully prepared, good quality used cars directly to customers with delivery to their homes and a straightforward returns policy is one which may well become the norm in the years or decades to come. That's not to suggest that Cazoo was ahead of its time, more that it was a business concept with considerable merit, but demand grew so quickly that it wasn't able to properly established the vastness of the infrastructure that was necessary to service the UK market, let alone its expansions overseas.
Since April 2025, the Cazoo name has been solely associated with an online used car marketplace. It no longer sells or delivers cars directly to customers itself — instead, the business is essentially a listing platform for used car dealers to list their own stock, in a similar way to other established car marketplace websites.
Although exactly why isn't information that's been shared outside the company, the reason why business names are usually carried over in this manner is largely down to positive brand recognition.
No brand name ever has a 100% positive association with the general public, of course, so that's not to say that all of the original Cazoo's customers would give it a glowing review, particularly those referenced in BBC's Watchdog investigations.
Ultimately, the Cazoo brand's owners would have sought advice from branding experts and commissioned their own research to determine what people thought of the name. One can reasonably assume on balance that reactions were more positive than negative, plus that people already associated it as having something to do with used cars. It's easy to overlook the importance of that final point when deciding whether or not to continue with an existing brand name or try and establish a new one.
