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Cash for Scrap

Government plan handout to scrap your old car

Motorists could be offered up to £2500 for trading their old car in for a new model. The plan is being backed by ministers in the hope of kick starting the motor industry. The scheme would offer buyers of new cars a cash incentive of £2500 when trading in a car more than nine years old. A figure has yet to be agreed but it would have to be a substantial amount for motorists to be tempted to visit the showrooms.

The German government introduced the scheme in January and this has led to a 21 percent rise in vehicle sales in February, the number in the UK fell by 21 percent in the same month. A similar scheme in France has not been quite so successful but buyers only receive £1000 for vehicles over ten years old.

The introduction of a scrappage scheme could create a demand for up to 250,000 new vehicles and remove an equal number of old and heavily polluted vehicles from our roads which can only be good for the environment.

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