UK Car Scrappage Scheme to be Extended
Business Secretary Peter Mandelson
Lord Mandelson has announced in his speech at this year’s Labour Party conference that the car scrappage scheme will be extended.
The scrappage scheme, which discounts the price of a new car by £2,000 if you trade-in a qualifying old car, was quickly running out of cash. £300m had been originally allocated to the scheme which is due to end at the end of February.
The business secretary announced that a further £100m would be allocated to extend the scrappage scheme to cover 100,000 more cars and vans.
The move had been called for by the motor industry following concern that sales would collapse when the money ran out.
A Society of Motor Manufacturers and Traders spokesman said: “We are obviously pleased that the industry call for an extension has been listened to by the government.”