This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/8073115.stm
The article has changed 6 times. There is an RSS feed of changes available.
| Version 4 | Version 5 |
|---|---|
| Scrap scheme boost to car sales | Scrap scheme boost to car sales |
| (about 3 hours later) | |
| More than 35,000 new cars have been ordered through the UK's scrappage scheme since it was announced in April, government figures show. | More than 35,000 new cars have been ordered through the UK's scrappage scheme since it was announced in April, government figures show. |
| This means that one in five of those who bought new cars took advantage of the £2,000 discount available for scrapping vehicles over 10 years old. | This means that one in five of those who bought new cars took advantage of the £2,000 discount available for scrapping vehicles over 10 years old. |
| Ministers believe those cars would not have been sold had it not been for the financial incentive. | Ministers believe those cars would not have been sold had it not been for the financial incentive. |
| Motor industry figures say it is too early to declare the scheme a success. | Motor industry figures say it is too early to declare the scheme a success. |
| Paul Everitt, chief executive of the Society of Motor Manufacturers and Traders, acknowledged that the scheme had enjoyed a "very encouraging" start - through increased orders, visits to car showrooms and internet inquiries. | Paul Everitt, chief executive of the Society of Motor Manufacturers and Traders, acknowledged that the scheme had enjoyed a "very encouraging" start - through increased orders, visits to car showrooms and internet inquiries. |
| However, he warned it could take a few months to fully assess the impact of the scheme. | However, he warned it could take a few months to fully assess the impact of the scheme. |
| The British Chambers of Commerce said it hoped the momentum could be sustained, "providing the embattled automotive industry with a much-needed boost". | The British Chambers of Commerce said it hoped the momentum could be sustained, "providing the embattled automotive industry with a much-needed boost". |
| Lord Mandelson: "It gives a huge boost to car manufacturers" | Lord Mandelson: "It gives a huge boost to car manufacturers" |
| Discounts | Discounts |
| Sales of new cars in the UK fell 28.5% in the first four months of this year compared with 2008, as the recession deepened. | Sales of new cars in the UK fell 28.5% in the first four months of this year compared with 2008, as the recession deepened. |
| In an effort to revive flagging sales, the government set aside £300m for the scrappage scheme, which was announced in April's Budget. | In an effort to revive flagging sales, the government set aside £300m for the scrappage scheme, which was announced in April's Budget. |
| That is enough to fund discounts on 300,000 vehicles, with public funds providing £1,000 - half the discount - and manufacturers covering the remainder. | That is enough to fund discounts on 300,000 vehicles, with public funds providing £1,000 - half the discount - and manufacturers covering the remainder. |
| HAVE YOUR SAY Facing a bill of several hundred pounds for an MOT I swapped my old gas guzzler for a low carbon Fiat Peter Dallmer, Andover Send us your comments | HAVE YOUR SAY Facing a bill of several hundred pounds for an MOT I swapped my old gas guzzler for a low carbon Fiat Peter Dallmer, Andover Send us your comments |
| Carmakers had lobbied ministers to put in twice that amount, as happens with a similar scheme in Germany. | Carmakers had lobbied ministers to put in twice that amount, as happens with a similar scheme in Germany. |
| But despite initial industry disappointment and - according to some surveys - a lukewarm reception from motorists, the government believes its plan has already led to extra sales. | |
| BBC business reporter John Moylan said that the figures reflected anecdotal evidence from car salesrooms. | BBC business reporter John Moylan said that the figures reflected anecdotal evidence from car salesrooms. |
| "Makers of small, less expensive vehicles in particular have reported a significant pick-up in interest," he said. | "Makers of small, less expensive vehicles in particular have reported a significant pick-up in interest," he said. |