The UK Scrappage Incentive Scheme has ended today, 31 March 2010, having generated nearly 400,000 new car registrations according to the Department for Business, Innovation and Skills. Over the past ten months, 20.4% of all new cars registered in the UK came through the scheme, providing a vital stimulus for the UK motor industry, boosting the market and protecting jobs throughout the supply chain.
Commenting on the scheme’s closure, business secretary Lord Mandelson said, “The scheme was always time limited and today as it closes I am pleased to see scrappage has delivered the results we aimed for – not just for manufacturers, but for the whole industry and its supply chain. The figures show that this scheme gave vital support, boosting demand when the industry needed it most, helping to position the auto sector to meet the challenges of building a strong low carbon future.”
SMMT chief executive Paul Everitt said, “The Scrappage Incentive Scheme has given a much needed stimulus to the UK motor industry boosting sales and production volumes, protecting thousands of jobs in retail and manufacturing. Around 20% of all new cars bought over the last ten months came through the Scrappage scheme demonstrating the significant impact it had in bringing new vehicles with lower CO2 emissions and improved safety technology onto the UK roads. Scrappage will continue to impact registrations data for a couple more months and while a slight dip in the market is expected, recent growth in business and fleet demand will soften the impact of the scheme’s closure.”
The scheme, launched in May 2009, was designed to deliver a boost to the UK motor industry through the offering of a £2,000 consumer incentive to scrap an old car in exchange for a new one.
