Car makers sign up for scrappage scheme

Leading car makers have shown support for the Governments car scrappage scheme announced in the Budget this week, with Ford and BMW already advertising models available under the plan.

Leading car makers have shown support for the Government’s car scrappage scheme announced in the Budget this week, with Ford and BMW already advertising models available under the plan.

Toyota, Peugeot, Citroen, Audi, Volkswagen, Nissan and Vauxhall are all expected to participate.

A Ford spokesman says it launched press ads yesterday (April 24) announcing its “Scrappage Plus” initiative, which will see car buyers receive up to £5,000 for scrapping their old car and buying a new one.

The car maker’s commitment is higher than the Government proposal, outlined by Chancellor Alistair Darling, which will see it provide £1,000, while car makers are expected to come up with another £1,000. But Ford says it will instead put up £3,000 for its larger cars.

Honda, Mercedes-Benz and Jaguar Land Rover are yet to reveal whether or not they will take part in the scrappage scheme.

The Government proposal forms part of its push to provide the ailing car industry with a much needed shot in the arm. Around £300m has been set aside to fund the initiative which will launch in the middle of next month.

An estimated 300,000 car buyers are expected to benefit from the scheme until it ends in March next year.

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