Exvis » scrappage scheme http://exvis.net Vehicle systems Tue, 07 Feb 2012 08:19:22 +0000 en hourly 1 http://wordpress.org/?v=3.2.1 MPs Look To Extend Life Of Car Scrappage Scheme http://exvis.net/2009/08/mps-look-to-extend-life-of-car-scrappage-scheme/ http://exvis.net/2009/08/mps-look-to-extend-life-of-car-scrappage-scheme/#comments Sat, 22 Aug 2009 02:36:18 +0000 exviar http://www.exvis.net/?p=33 Back in May this year, the UK government launched a scheme that would reward car buyers when they scrapped their old cars. Oddly enough it was called the ‘Car Scrappage Scheme’ and it gave car buyers 2000 towards a new car when they scrapped a car that’s more than 10 years old.

The cost to run the scheme cost a total of 600 million pounds. Half of the total was payed by car manufacturers and the other half was handled by the tax payers. Although this seems a large amount, it’s definitely paying off??

The total number of new cars registered for July 2009 have just been released and they show a rise of 2.4% compared to July 2008. Overall, 157,149 new cars were registered in July, making a 2.4% on July 2008. Over 33,000 of the total cars registered were bought as part of the government’s scrappage scheme. Even though a 2.4% rise is not a huge number to be happy about, it’s still good news because this rise is the first seen in the motor industry since April 2008.

Due to the good results the scheme has created, many MPs are looking to extend the scheme for throughout 2010. Currently the scheme is due to end either when the tax payers money input runs out, or in February 2010. However, as it has proved so popular with over 144,000 cars registered with the scheme since it’s start back in May, I wouldn’t be shocked if it was continued.

Car manufacturers will hope that if the scheme is continued, the rise in car sales will continue as more people invest in the scheme.

Despite this being good news, there are some downsides to the scrappage scheme. The first one affected is the second hand car market. Due to the large number of cars being scrapped, the amount of second hand cars on the market are being reduced. The second sector that’s affected is the cheap car leasing market.

Due to the large number of new cars being bought, the leasing market is missing out because people are choosing not to go for a Nissan lease whereas they could just scrap their old car and get money off a new one. This problem doesn’t so much affect the van contract hire sector which doesn’t yet benefit from the scrappage scheme.

]]> http://exvis.net/2009/08/mps-look-to-extend-life-of-car-scrappage-scheme/feed/ 0 Why the Used Car Market is Hurt http://exvis.net/2009/08/why-the-used-car-market-is-hurt/ http://exvis.net/2009/08/why-the-used-car-market-is-hurt/#comments Fri, 21 Aug 2009 18:36:23 +0000 exviar http://www.exvis.net/?p=32 pOver recent years the a href=http://www.carpress.co.uk target=_blankused cars/a market has seen a decline in the amount of revenue and sales that are made. Used car figures were actually down by around pound;24 billion for the 2008 year, there were around 300k less cars sold then the previous years./pp/ppWe all know that this was solely down to the credit crisis which hit the world in late 2008.!–more– People began to panic and control their money and one thing in life that people could afford to cut down on was purchasing a car and we all know that the huge majority of people chose to drive a used car because they can get more value for their money./pp/ppSo what happened in 2009? And why is the used car market still suffering? Well I believe this is all due down to the vehicle scrappage scheme. Although it has been beneficial in boosting the new automobile market, it has left the secondhand automobile marketplace trailing behind, the reason for this is as follows./pp/ppWhen people want to buy a new car they usually put their old one for sale, this then gets sold to a newbie driver who then passes it on and does the same thing. But because of the scrappage scheme people are rather choosing to hand it in to a participating garage and getting themselves a brand new car./pp/ppI do anticipate the secondhand automobile marketplace to get back up on its feet in 2010, as the scrappage scheme will not last forever I mean in the end its the authorities who are backing it and it has probably already costs millions of pounds to save the modern automobile market, but on the other hand it has hurt another market even worse./pp/ppDo you want to a href=http://www.carpress.co.uk/bmw target=_blankBuy a new BMW/a or a href=http://www.carpress.co.uk/toyota target=_blankBuy a Toyota/a/p

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