Scrappage scheme enters final phase

Date: 25/2/2010

The government's car scrappage scheme is moving into its final phase today (February 24th), business secretary Peter Mandelson has stated.

The minister advised motorists looking to take advantage of the scheme to do so as soon as possible to avoid disappointment.

Allocations of shares of around 50,000 potential orders have been issued to car manufacturers, based on brand popularity.

It is hoped that this move will ensure the scheme winds up smoothly. All 37 participating manufacturers will be given an allocation based on demand.

It is due to end at midnight on March 31st or when the budget for the scheme runs out - whichever happens first.

Lord Mandelson commented on the scheme: "Industry figures have showed again and again the benefits that the scrappage scheme is continuing to deliver to the automotive sector and beyond. It is great news that in January scrappage helped the industry to achieve its biggest output gain since May 1976."

Meanwhile, the minister revealed yesterday (February 23rd) that the government is to invest £64.4 million into economic development across the English regions through the nine Regional Development Agencies.