Scrappage scheme ends
April 1st, 2010 by Richard Aucock
SCRAPPAGE will come to an end TODAY as final funds for the successful Government scheme are used up.
The industry-boosting scheme is set to go down in history as a landmark in the UK car dealer world.
Up to 400,000 new car buyers have been helped into new cars, but the significant of the scheme could be greater still. It has taught UK car dealers lots about incentive management and what actually gets customers in.
Business secretary Lord Mandelson said ‘the scheme was always time limited and today as it closes I am pleased to see scrappage has delivered the results we aimed for – not just for manufacturers, but for the whole industry and its supply chain.
‘The figures show that this scheme gave vital support, boosting demand when the industry needed it most, helping to position the auto sector to meet the challenges of building a strong low carbon future.’
Mandelson also praised post-scrappage initiatives taken by many cars firms, ‘to offer new deals and additional savings to customers still interested in buying a new car.’
The significance of the scheme has been huge. Government figures show up to 4000 jobs were supported by the scheme.
Stats also show more than half of scrappage buyers had NEVER bought a new car before – and 56 percent reckon they would not have bought a new car at all had the scheme not come along.
CO2 emissions of scrappage cars were, at 133g/km, a huge 27 percent lower than the average of the scraped car.
But most fascinating stat of all? 60 percent of scrappage buyers were aged 60 years or over. There’s a lot to be said for clarity…
Do please share your reflections on the scrappage scheme with us.
Tags: government, mandelson, new car scrap, scrappage