The UK Scrappage Scheme Ran From May 2009 to March 2010
Under the scheme 400,000 old bangers were scrapped in return for their owners receiving a minimum £2000 discount towards the cost of a brand new car.
The idea behind the scheme was to generate new car sales in a struggling market as well as hopefully encourage car drivers to move to smaller more energy efficient, lower Co2 new cars.
Did it work?
It can definitely be considered a success as not only did it generate 400,000 new cars sales at a difficult time but it also pretty much self funding as the increased vat revenue more or less covered the governments contribution. Overall Co2 levels from cars dropped. However in 2017 the UK Government made what seems a bit of a turn around by changing RFL rules so that most new cars would no longer benefit from low RFL if they were low Co2.
Here's how the scrappage scheme worked in practice:
In return for your new car dealer having your car officially scrapped at an Authorised Treatment Facility (ATF) your dealer received a Certificate of Destruction (COD).
Your dealer then supplied this to the government along with the paperwork proving that your vehicle complied with all the other requirements.
The government then refunded the manufacturer £1000 and the manufacturer contributed the other £1000 which together gave you a total discount of £2000 against the purchase of a brand new car (or small van).
The Scrappage Criteria: The old vehicle:
1/ Must be a car or small van not exceeding 3.5 tonnes
2/ Must be registered in United Kingdom on or before 29th Feb 2000 for cars or 28th Feb 2002 for vans
3/ Must be registered with the Driver and Vehicle Licensing Agency (DVLA) or Driver and Vehicle Agency in Northern Ireland (DVA) in your name
4/ Must have been registered to you continuously for 12 calendar months before the order date of the new vehicle
(for bereavement transfers to spouse this is reduced to 6 months)
5/ Must have a UK address on the registration certificate (V5C)
6/ Must have a current MOT test certificate before the date of order for the new vehicle (or within 14 days of expiry at the time of order)
7/ Must have a current tax disc before the date of order for the new vehicle (or within 14 days of expiry at the time of order)
8/ Must be insured when the order for the new vehicle is placed
The new vehicle: 1/ a car or small van not exceeding 3.5 tonnes
2/ first registered in the UK on or after the 18 May 2009
3/ declared new at first registration in the UK with no former keepers
4/ a UK specification vehicle
5/ registered to the same registered keeper as the registered keeper of the eligible vehicle to be scrapped
The above information is extracted from the government web site at www.berr.gov.uk
All information is provided in good faith however human error can occur and therefore always do your own checks and investigations before proceeding with any advertised offer.