Cash for Old Car to Buy a New Car

Looking at the news on the TV we may say that the UK government is simply willing to follow the same route as many countries on the continent. A scheme to give buyers an amount of up to £2,500 when they want to trade their old “bangers” for new cars is starting to gain the governments support. The ‘cash for scrap’ payment is supposed to be tax-payer funded and is intended to give the automotive industry a sort of kick-start, which is much-needed during the present economic situation of many British car manufacturers. Looking at countries where a similar scheme has operated successfully, UK car producers may count on increase in production.

Follow up:

In Germany, for example, where such payments have been available for some months now, new car sales rose by some 21 percent. By contrast, in the UK, the total sold fell by 21% due to the common recession in the car industry. Plans to adopt such a scheme for the UK have been discussed for weeks, gaining the support of both car retailers and motorists’ organisations. The idea has also found support from eco-campaigners and ecology companies because it will take older models with higher pollution levels off the road and replace them with new cars, which are far ‘cleaner’ and more environment-friendly. The scheme, as it is thought, would apply to cars over nine years old. A level of payment and support has not been set as yet - but progression is expected soon.