Car Scrappage Tax Introduced in Budget

[//j17]

In a bid to prop up the manufacture of cars no-one is buying because no-one wants them you will soon be able to get £2,000 to do your part of removing all traces of UK automotive history from the record books.

Come the classic car shows of 2030 it looks like there will be a big gap after 1980...

[Andy 308GTB]

//j17 said:

In a bid to prop up the manufacture of cars no-one is buying because no-one wants them you will soon be able to get £2,000 to do your part of removing all traces of UK automotive history from the record books.

Come the classic car shows of 2030 it looks like there will be a big gap after 1980...

My Rover 416GSi that has been conservatively valued at sub £25.00, now has a potential value of £2,000.00
Should I get my insurance reviewed

[RedexR]

Its a serious point , it will have a blanket effect , all sorts of restoration projects will now dissapear as well as the smokey old Cavaliers and Sierras , not been well thought out has it ? Oh and banger racing will now be the sport of the elite.

[zac510]

What exactly happens to the car after its been handed in?

If they have to forfeit its plates to the Govt it might still find life in banger racing or as a farm hack?

[wulmar]

you got spend a lot of money (buy a new car) to safe a little money (£2000)

[//j17]

Couple of things that have been pointed out since...

Firstly this basically drops the price of new cars...so is going to drop used values over-night too. So if you've got a 10 year old car - great. If it's 6-8 years old and you were looking to trade it in...probably best to just hold on to it!

Secondly from www.theregister.co.uk - "The £2,000 subsidy is actually divided between government and industry, with a grand coming from the government and a grand from almost bankrupt car manufacturers. So that rustling noise you can hear is every car salesman in the land slapping an extra £1,000 on the price of the new cars on his forecourt.". So only £1,000 off in the real world.