From today, drivers with cars that are more than 10 years old can scrap them in return for a discount of £2,000 off a new model.
Business Secretary Lord Mandelson said the £300m scheme would "provide a boost to the industry and kick-start sales".
But critics say it is not generous enough and does nothing to encourage the take-up of low emission cars.
SourceOnce again, the announcement from the government bears no relationship to the actual facts...
It was announced as the government giving you £2K for your old car if you buy a new one. It was justified because they tried this in Germany and it boosted sales by 40%.
On the BBC this morning they are still saying that the £300m will fund 150,000 cars (i.e. 2K each)...
The reality is that the government will only give you a bag-o-sand for your old car - the manufacturers (you know, the ones that are supposed to benefit from the scheme) have to discount the other grand...
The fact is that you can get a better deal by shopping around - the market is awash with new and nearly new cars and the manufacturers have been offering 'two grand off' since the scheme was announced...
It looks like the government has lied and fucked-up.
I don't think they had a clear idea of what they wanted to achieve (apart from grabbing headlines) as is so often the case with this lot...
If they wanted to boost sales they should have given the full two grand off, not made the manufactures fund half. You could have negotiated the best possible 'cash' deal on your new motor and then, and only then pulled out your old motor which should have been in effect two grand cash. as it is you won't get anywhere near the best proce on the transaction as the motor industry has already slashed prices to the bone (remember the recession) and simply can't afford to give another grand off...
They could have further given the scheme 'green credentials' by limiting the scheme to the cheapest, most efficient new cars. As it is, your taxes could be going towards giving some rich banker a grand for his new Range Rover that he would have bought anyway...
Also, how about giving someone £2K or even say £3K worth of 'public transport vouchers' for their old motor...? People struggling to keep an old motor going might have been encouraged to take the car off the road for good and switch to public transport forever...
But perhaps, just perhaps the government has achieved its aims...?
They've achieved the headlines they crave, the BBC continues to shout what a wonderful scheme it is and a load of wealthy people trade in old motors to buy a new Range Rover - providing bumper sales tax, VAT and fuel duty revenues...?
If you look at it like that £300m seems a small price to pay.
