August 12, 2009

The regional breakdowns illustrate that the scheme has proved popular with across the UK.  Take-up has been highest in the South East (18%), with the East of England (12%), the North West (11%) and South West (11%) respectively. These figures are consistent with a pattern that is broadly in line with national levels of car ownership, the highest participation rates for the scrappage scheme shown in regions with the highest levels of car ownership. 

Lord Mandelson, Secretary of State for Business took time out of his busy schedule to comment:

"I'm pleased that we have already achieved over 150,000 new car orders. This is a great deal for manufacturers and dealers, not to mention the customers.

“The scheme has contributed to the 13.5% jump in car manufacturing and the first growth in new car registrations since April 2008.

The additional data also reveal that on average, new cars bought under the scheme have CO2 emissions that are 25% lower than the cars scrapped."

The average CO2 figure for scrapped cars is estimated to be at least 179 g/km, compared to a much lower 133.9 g/km emissions average for cars bought through the scheme.  Environmental campaigner point to the fact that the cars manufacture contributes to the largest part of its carbon footprint, but this scheme was more concerned with jump starting the UK motor industry than the environmental aspect.  That said a reduction in emissions will be welcomed by most people.

The UK scheme, with £300m from Government and matched funding from manufacturers, is intended to provide immediate support on a short-term basis to boost the car industry and its supply chain during the downturn and stimulate demand. It will also get older vehicles off the road and encourage consumers to invest in new, safer, and potentially more environmentally friendly models.

The £2,000 subsidy is made up of £1,000 from government with matched funding from vehicle manufacturers. The scheme was officially launched on 18 May and will run until March 2010 or until the government funding has been used, which at the current rate will only last until Tuesday 13th October 2009.  Maybe Mrs Thatcher will be able to get one in for her birthday!

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