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Car Scrappage Scheme Update

The Government has confirmed it is extending its car scrappage scheme for old cars for up to a month.

Lord Mandelson praised the scrappage scheme as a 'great success'.

Business Secretary Lord Mandelson announced the scheme would now continue until the end of March or until the remaining funds ran out, whichever is sooner. The scheme, which offered a £2,000 grant to motorists trading in vehicles over 10 years old for new models, had been due to end this month. It was introduced in the last April Budget in an effort to revive flagging car sales.

Lord Mandelson praised the scheme for helping to boost struggling car sales in recent months. He said: "Against the background of the economic downturn the scrappage scheme has proved a great success, driving UK car sales, protecting jobs and supporting the supply chain for car manufacture at a time when this sector needed it most.

"If you're considering buying a new car, you should place your order as soon as possible to avoid disappointment, because the budget is strictly limited."

The extension came following requests from car manufacturers for more time to prepare dealers and inform customers.

For more information visit:

http://www.direct.gov.uk/ and http://www.ukcarscrappagescheme.co.uk/