Extended scrappage scheme goes live

From today (October 22) the new terms of the Government's scrappage scheme come into force providing an extra boost to the car industry and consumers.

In September it was announced that an extra £100 million was proposed for the Government's scrappage scheme bringing the total budget to £400 million and covering up to 400,000 vehicles in total.

Having listened to industry, changes have been made that will bring even more benefits to consumers.

Van owners looking to trade in their vehicles will now be able to scrap their 8-year-old van instead of the previous 10-year requirement.

The age qualification for car owners now extends the benefits to cars registered on or before 29 Feb 2000 (V registration).

Business Secretary Lord Mandelson said: "Consumers and businesses looking for a new vehicle should make the most of the scrappage scheme now. With the new terms, the Government's scrappage scheme makes it accessible to even more consumers, but it has to end when the funding runs out.

Industry figures show that the scrappage scheme is continuing to boost the market. The automotive sector is a cornerstone of British manufacturing. That is why the Government plans to extend this successful scheme with an extra £100 million of funding."

The scheme will come to an end in February 2010 or when the funding runs out, whichever is sooner.