Scrappage scheme: the facts

• In his Budget statement to the House of Commons on 22 April 2009, Chancellor of the Exchequer Alistair Darling confirmed that a scrappage incentive scheme will be introduced.
• A total of £2,000 will be offered in a “cash-for-scrap” scheme for 10-year-old, or older, cars.
• The £2,000 saving will be made up of £1,000 from the government and £1,000 from the relevant car manufacturer.
• Participation in the scrappage scheme by specific car manufacturers is voluntary.
• The funding will be made up of £300million from the government – a figure that will be matched by manufacturers participating in the scheme.
• The scheme is expected to be introduced in mid-May.
• The scheme will run until the start of March 2010, or until all of the government funding has been used.
• The discount will be offered to consumers buying a new vehicle to replace a vehicle which they have owned for more than twelve months.
• The registered keeper must have a UK address.
• Eligible vehicles must have been first registered in the UK on or before 31 July 1999 and have a current MOT test certificate.
• Scrappage savings apply to commercial vans (up to 3.5 tonnes) as well as cars.
• The scheme will be audited by the DVLA.
• Scrappage trade-ins can only be made against new cars.

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