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Is it time to scrap your car?

Scrappage

Cars that are more than 10 years old can be scrapped in return for a £2,000 discount on a new model, under the government’s car scrappage scheme.

Car manufacturers are hoping the scheme will help revive the ailing motor industry, which saw new car sales down 28.5% in the first four months of 2009 compared with the previous year.

The government pledged £300 million in the Budget to give motorists the opportunity to exchange their old cars for a brand new, and potentially more environmentally-friendly, vehicle using the cash incentive.

Under the scheme, the government will provide a £1,000 subsidy, while the motor industry will provide at least a similar amount.

“The scrappage incentive scheme has the full support of the UK motor industry who will continue to work with the government to ensure the scheme's success,” said Paul Everitt, chief executive of the Society of Motor Manufacturers and Traders.

How can you get involved?

If you’re thinking about taking part in the scheme, here are five things you should know:

  • To qualify, your current car or van (up to 3.5 tonnes) must be registered in the UK on or before 31 August 1999.
  • You can’t buy an old banger and trade it in for a new one. Your existing car must have been registered to you continuously for 12 calendar months before the order date of the new vehicle. It must also have a valid MOT and car tax.
  • The new car you buy must be registered in the UK on or after May 2009, and declared new at first registration with no former owners.
  • You dealer will sort out all the paperwork and the £2,000 discount will come straight off the price of the car.
  • All private and business vehicles can participate in the scheme as long as they fulfil the conditions.

For more information go to the government website

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