A car cash-for-scrap scheme that could see car buyers handed up to £2000 is under consideration by the government in a bid to get new car sales moving.
Under the plans owners of older cars - typically those more than 10 years old - would be handed discounts on new models in exchange for scrapping their old one. German car buyers already enjoy a £2100 contribution when they trade-in an older car, while Spanish scrap car owners are entitled to a £10,000 interest-free loan. The German dealers' organisation, ZdK, claims that this helps 200,000 more people into new cars.
This scrap cars proposal is being backed by the AA as well as the Society of Motoring Manufacturers and Traders (SMMT) and Retail Motor Industry Federation (RMIF).