Carmakers are back on board the scrappage scheme following yesterday’s fiasco which saw the like of Ford and Honda suspend their participation in the scheme while issues over VAT payments were cleared up.
According to the Society of Motor Manufacturers and Traders (SMMT), the final details regarding the scrappage incentive scheme have now been resolved, with the full backing of car manufacturers.
The scheme which officially launched yesterday got off to a shaky start as Honda and other carmakers sort to clarify whether they were expected to bear the cost of the scheme alone or whether they could share the cost with their dealers, but this has not been permitted. Other ‘administrative issues’ over tax liabilities have now also been clarified.
The scheme gives new car buyers a £2,000 discount when they trade in a car aged 10 years or more. Under the scheme, half of the £2,000 discount is funded by the government and the other half by participating carmakers.
Commenting, SMMT chief executive Paul Everitt said: “The scrappage incentive scheme has the full support of the UK motor industry who will continue to work with government to ensure the scheme’s success. We are delighted to have 39 brands, including all the volume vehicle manufacturers, committed to the scheme enticing car buyers back into the showrooms.”
Participating vehicle manufacturers include Allied Vehicles, Bentley, BMW, Chevrolet, Citroen, Daihatsu, FIAT, Ford, Honda, Hyundai, Isuzu, Jaguar, Kia, Land Rover, London Taxis International, Mazda, Mercedes Benz, MG Motor, Mitsubishi, Nissan, Perodua, Peugeot, Porsche, Proton, Renault, Rolls Royce, SAAB, SECMA UK, Subaru, Suzuki, Toyota, Vauxhall, Volkswagen, Volvo, Koelliker UK Ltd, Iveco Ltd, Chrysler, Renault Trucks UK Ltd.
