Car scrappage scheme 'has bolstered consumer confidence'

Consumer confidence has been buoyed by the car scrappage scheme, an expert has suggested.

Under the terms of the initiative, dealers that have subscribed provide £2,000 discounts off new vehicles when drivers trade in old models.

On September 28th, the government announced a further £100 million funding for the scheme, meaning it will now cover up to 400,000 cars and vans.

The development was welcomed by the Society of Motor Manufacturers and Traders, which had been lobbying the Labour administration to extend the deal.

A spokesperson for the organisation said: "It has helped to boost consumer confidence so people are confident with being able to buy a product which is essentially quite an expensive product."

While the scheme remains largely unchanged, the registration date for old cars has been altered to February 29th 2000 or before, while for vans it is now February 28th 2002 or before.
ADNFCR-2353-ID-19388841-ADNFCR

01/10/2009 16:51

News category:

Return to News