Vehicle scrappage scheme good news for buyers

The Society of Motor Manufacturers and Traders (SMMT) has welcomed government’s introduction of a scrappage incentive scheme to kick-start demand in the car and van market.

The scheme, due to start in May 2009, will see government offer a £1,000 incentive to be matched by participating vehicle manufacturers when scrapping a taxed, insured and MOT’d car or van over ten years old which they have owned for at least one year.

Commenting on the announcement made within chancellor Darling’s Budget speech, SMMT chief executive Paul Everitt said, “This is good news for consumers and will get people back into showrooms, kick-starting demand in the market. The scheme recognises the economic value of the motor industry and we are determined to make it a success. There is clearly a great deal to do and we look forward to discussing the finer detail of the proposal with government in the coming days.”