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Scrap the scrap scheme argues Motorpoint

24th April 2009 Print
Motorpoint is calling on the Government to abandon the car scrappage scheme before it even begins.

The UK’s leading car supermarket group believes the car scrappage system is nothing more than a clever ruse by the car manufacturers to offset recent price hikes at the taxpayers’ expense.

The Chancellor Alistair Darling unveiled details of the scheme in Wednesday’s Budget. Under the proposals, drivers scrapping cars which are 10 years or older will receive £1,000 from the manufacturer (match funded by the Government) towards the cost of a new vehicle.

However, few consumers realise that the funding only applies to a brand new, unregistered vehicle at list price, and that with the list price of popular cars such as the Ford Focus having risen by as much £1,200 in recent months, the tax payer is effectively subsiding the contribution from manufacturers through their dealer networks.

Says David Shelton, Managing Director of Motorpoint: “Like everyone we were delighted that the Government had decided to take action to support the UK car industry.

“When the exact detail of the scheme was published, it quickly became apparent that it was nothing short of collusion between the Government and the manufacturer with the consumer being left to pick the bill.

“We launched Motorpoint just over a decade ago determined to end the so-called ‘Rip of Britain’ car buying culture by wrestling control away from the manufacturers and their dealer networks when it came to buying new and nearly new vehicles.”

Adds David: “Unfortunately, the car scrappage scheme would appear to be a return to the bad old days, creating a manufacturer only administered scheme which benefits only them and their dealers and does nothing for the average motorist.”

“We would strongly advise anyone considering buying a new car to bring their old car to Motorpoint instead and save themselves a lot more than £2,000 on a fantastic range of makes and models.”