£2000 UK Car Scrappage Scheme Allowance Announced…
UK Car Scrappage Scheme - £2000 for your old car!
A £2,000 uk car scrappage allowance will be available for drivers of 10 year old cars and older when they buy a new car. This will be available until March 2010.
The £2,000 car scrappage scheme subsidy will be supported by £1,000 from the Government and £1,000 from the car manufacturers. Any vehicle registered before 31 July 1999 will be eligible.
Any cars and vans up to 3.5 tonnes will benefit from the scrappage scheme and not just low polluting models.
The car being scrapped must be registered with the DVLA to a UK-domiciled registered keeper making the application. The vehicle must have a current MOT certificate and have been continuously registered to the current keeper for at least 12 months immediately before the application.
Fast Tube by Casper
The new car must be of UK specification, registered after the UK car scrappage scheme has been implemented and it must be first registered to the same registered keeper as the old car.
Dealers of participating manufacturers will do all the paperwork and arrange for the vehicle to be scrapped.
A fund of £300 million has been set up for the UK car scrappage scheme and it’s thought that the scheme will be introduced around mid-May and will last until the fund runs out or March 2010 at the latest.
Business Secretary Lord Mandelson said:
“This is targeted action with a capped budget and for a limited time, designed to boost the whole motor trade. This will ensure that the benefits of a scrappage scheme are balanced with the needs of other sectors of the car industry such as the second hand market, maintenance and repair businesses, and other industries that produce consumer durables or on the taxpayer.
“The car sector is under huge pressure at the moment and the government is determined it remains a very important part of our manufacturing base. It invests heavily in research and development, supports highly skilled workers and a wider supply chain. These are vital to our future manufacturing and retail success.”
The UK car scrappage scheme will be run by automotive manufacturers who wish to participate. It is expected to be operational from mid-May to allow industry time to prepare. There will be proper verification procedures to ensure the rules are followed, including audits by DVLA to avoid abuse that has been encountered in other countries.
Business Minister Ian Pearson said:
“People will not only save hard-earned cash on buying a new car or a van for their business but they will know they are helping save jobs too.
“If you’ve got a vehicle that’s ten years old or more, you just need to talk to a participating dealer who will do the rest. You will get at least £2,000 towards a new one.”
Keep revisiting this site for more information as we get it.
UK Vehicle Sales Sink While European Sales Surge Due to Government Incentives
It is not fair or accurate to compare a UK Scrapage Scheme with the German one as of the total market for relatively low emission cars sold in the UK only about 15 percent are home produced Astra, Micra, Mini, Jazz. Where as in Germany there is the potential for more than 50 percent from the motoring giant Volkwagen. A scrapage scheme may help the dealer network and supply chain in this country but will be disastorous for our trade deficit as most of the money will go abroad.
Do you think ex-demo cars will count as new or is it only brand new 1st registered owner?
I’m supposed to picking up a 09 reg ex-demo with 19miles on the clock on Saturday (25th April). I didn’t know about this impending scheme until the day after I put down the deposit. I could probably put the date back of delivery a week to get into May but I’m not sure I would qualify anyway. (my old car is 12yrs and I’m getting £100 part exchange so I think that would qualify) Anyone want an old banger for £1000?
Will I be able to scrap my 19 year old car and buy a motorcycle? Thank you.
Are there any T’s and C’s published yet? on this
To claim the £2k, you will have to buy a brand new car from a participating manufactuer. The gov will pay £1k and the manufactuer will pay the other £1k.
The trade in car has to be 10 years old or older and be registered in your name for at least 12 months at the time you buy the new car.
hello I have just ordered a brand new vauxhall corsa recently and I am due to pick it up this friday 24th april. I will already have a £1000 scrappage allowance from the company off my new car. Could I still claim the other £1000 if I wait until May as I have signed nothing for the car yet. Can anyone help please as I could save £1000 which is a lot to me.Thankyou
Greetings from the Green Vehicle Exchange Program..
We have solutions conceived for eliminating all of the problems
related to vehicle scrappage.
They will be implemented soon in the US and our advice has been
offered to the UK govt and industry associations.
We will prevent the increase in prices for the older cars from these
plans, helping the lesser fortunate as opposed to hindering them with
limited supply.
We will avoid the decline in newer used car values that has resulted
in Germany(30pc> in value)from demand decline.
We will make wider eligibility that will offer incentives to those
with 5-10 year old cars that will be far more likely to participate
financially in the first place.
We will remove many more of the real oldest higher polluters and not
cause”negligible carbon reduction” benefits as a result of our better
systems.
We have developed a system whereby the independent repair shops and parts suppliers will benefit from the repair requirements of/for some of the better vehicles being kept in continued use rather than losing a large catchment of older vehicle that would have needed repair.
Our system is also designed to be perpetual for the long term avoiding other future market sales slumps later.
Should the News desire to investigate further I await the contact.
Environmentally, Economically, Opportunely and Stimulatingly Yours..
Fraser J.M. Young
Creator – Executive Director
Im the “participating dealers” are going to be able to select which cars they will allow this to be used for.
At the minute im looking at trading my old old saxo for a citeron C1 but the current scrappage deal they have doesnt apply if you buying a C1, C2 or C3 car
@ KineticOnline: Citroen will be among the participating dealers. It is one of the conditions of the scrappage scheme that participating dealers have to offer the scrappage bonus for all models in their range.
It is a complete waste of time! I have a 12 year old car. Like many others, if I had the money (less £2000) to go and buy a brand new car I would already have already gone and bought a 3-5 year old second hand car and got rid of my old banger.
To make it worthwhile it should have been for cars less that 3 years old.
does the scheme only work on manufacturers retail prices or is it possible to get the £2000 scrappage allowance from a big motoring franchise which currently offers huge discounts anyway i.e arnold clark?
I think this scrappage scheme is never going to work. Most people who have a car which is over 10yrs old do so because generally they cant afford a better car let alone a new one labour already know this and will not be paying too much to this scrappage scheme. If it was to get high polluters off the road why is it open to larger cars as well?
My >10 year old car has failed it’s MOT.
Therefore I can’t enter it into the scrappage scheme.
I now have the choice of getting it repaired to get an MOT & scrap it, or getting it repaired to get an MOT to carry on driving it…
Let’s see now, which makes more sense (ie. the opposite of Darlingnomics) ?
My current MOT on my S reg car runs out on 17th May 2009 and I have been informed by dealers that the scheme only starts from 18th May 2009.
Is it possible to scrap the car before this date and use the £2000 to buy a new car?
If not, than I will have to go for a second hand car and scrap the old car anyway.
My car was first registered on 8th november 1999. Apparently, car got to be registered prior to 31st of July 1999 to be eligible. However, the scheme is till Feb,2010 and my car will be more than 10 years by then. Will my car be eligible for the scheme?
Not at the moment, the rules state that the old car has to be registered prior to 31st July 1999 to qualify for the car scrappage subsidy.
In Germany, there were 1.2 million applications. What is the expected number of applications in the UK. The UK government has set aside £300m. Does that mean the scheme will close once/if there are 300,000 applications?
@David….
Yes the scheme will close when the money has been used or if the deadline date is reached.
Here is one for you guys.
I have a old car that qualifies, but I do not have a good enough credit record to buy a new car. There must be people who WANT to buy a new car, but do not have a qualifying car to trade in. So, IS there anyone out there want to do a deal? Together, I am sure ‘we’ can buy a new car as part of the scheme, and all i want is £1000 to buy a n’ew’ second hand one. There must be a way..
I live in the Bath area.
I’ve ordered a new Ford Fiesta on the 9th May. My old car’s MOT expires on 27th May. On the web I’ve read that the car must have valid MOT at point of order which says to me that I qualify for the scrappage scheme. However, the Ford dealer isn’t so sure and says I may need to have an MOT in place when I receive the new vehicle. Is anyone else in this situation or able to clarify?
The direct.gov.uk website states that to be eligible the vehicle you are trading in must:
* have a current MOT test certificate before date of order for the new vehicle
Hope this helps
I’ve heard rumours on the grapevine the scheme might extended to buy cars up to 3 years old. This would help everyone, motor industry and the public. Is it true?
I went to buy a new Clio at the end of may 2009 from your dealers in Oldham under the government scrap age scheme I took my old cars MOT certificate log book and other identity paper and told him the car was sorned salesman said I qualified to buy a new car under the scheme .I duly order a new Clio and decided to pay extra for metallic paint I payed for the extra and the deposit for the car the same day and signed a contract . The money £514.00 was taken from my account on the 2nd of June 09, I had a phone from the dealer in early July informing me that the car was on order and will be delivered on the 14 August 09
I have got the scraped car on my drive waiting to be pickup by Cartakeback Company.
This morning Saturday 8 August 2009 Renault phone me and said because it was sorned I have to re order for my new car, he then said I had to get for my scraped car a new MOT , insurance and tax and to do a new order. On renaults web site it states that the dealer will organise all paper work will check eligibility for the scrapage scheme ,verify identity and arrange destruction of the old vehicle I think the dealer as broken his contract with me what does anybody else think
tony
why do we need a valid MOT if the car will be going to be scrapyard anyway.