Reply to: Car scrapping incentive...

[Peoplesoft bloke]

BTW it is the most utterly crap idea from crapideaville.

[AtW]

BMW complained.

Quiet, I am sure Bentley, Aston Martin, Rolls-Royce are not thrilled either.

[Peoplesoft bloke]

according to the radio (BBC), the German manufacturers weren't that keen on the German scheme - BMW complained.

[AtW]

People who drive those bangers are probably the ones who can't afford new car anyway.

[minestrone]

What percentage of these cars will be built abroad? 90%?

What pecentage of these cars will be built by a car company from abroad? 99.9%?

Germany has a real car industry to prop up, we are just clutching as straws.

[GardenGirl]

My cars more than 10 years old but it aint no banger! yes it probably sends out more co2 than todays car by then my car is made of metal not plastic and will last more than 5 minutes unlike todays rubbish! Also when they factor in the Green aspect how much CO2 did it cost to scrap that 10 year old car and make that new car, when are you all square environmentally? i'd bet it would be something like emm 10 years!

[darmstadt]

In Germany, you have to have owned the car for a year prior to scrapping it, this closes the loophole the rich could exploit buying a wreck and using it to get £2k of the price of a new Beemer.

However the basic premise remains. If you're driving a 10 year old car, it's generally because you haven't got the money to spend on a new car!

Ans as the promised release of lending from banks has failed to materialise, then credit is no longer an option!

Correct. I was thinking of getting an old tulip heap and buying a little Fiat 500 for the missus until this was pointed out. However car sales in Germany for the first quarter have lept through the roof, something like 30% above average...

[scaramanga]

Well if I was looking to buy a brand new car (not that I would as the depreciation is ludicrous) then I'd pick up a wreck for under a hundred to exploit this and then sell my old car privately.

Then you would get no rebate because you have to own the banger for a year to qualify.

It is only a short term proposal so if you bought the banger now the scheme would have expired before it became eligible.

[Pinto]

If you're driving a 10 year old car, it's generally because you haven't got the money to spend on a new car!

[thelace]

In Germany, you have to have owned the car for a year prior to scrapping it, this closes the loophole the rich could exploit buying a wreck and using it to get £2k of the price of a new Beemer.

However the basic premise remains. If you're driving a 10 year old car, it's generally because you haven't got the money to spend on a new car!

Ans as the promised release of lending from banks has failed to materialise, then credit is no longer an option!

[denver2k]

Apparently, this sort of incentive proved quite handy for Germany when they introduced it few months ago. However, for UK it may not be that good. 1) Its quite late now to persuade people to spend on new cars 2) Theres no big car industry(as compare to Germany or even France) apart from some plants of Foreign companies.

As TykeMerc mentioned , 'depreciation is ludricous', investment in car (unless you desperately need it ) would make you a proud owner of a toxic asset

[Platypus]

Well if I was looking to buy a brand new car (not that I would as the depreciation is ludicrous) then I'd pick up a wreck for under a hundred to exploit this and then sell my old car privately.
I'm not sure what they aim to achieve by this apart from subsidising new car sales.

stimulating

We'll see.

[Platypus]

Analysis seems to be that because the car industry will be responsible for paying half the £2000 plus paying to scrap the old car plus doing all the paperwork etc that new car prices may in fact rise to cover the shortfall.

Plus of course is that even if there were any benefit to the car industry, it would likely benefit foreign manufacturers since we have no car industry of our own to speak of.

This budget has been pathetic

[TykeMerc]

Well if I was looking to buy a brand new car (not that I would as the depreciation is ludicrous) then I'd pick up a wreck for under a hundred to exploit this and then sell my old car privately.
I'm not sure what they aim to achieve by this apart from subsidising new car sales.

[denver2k]

But most of the people will prefer to keep that 10 year old banger until doom is gone