How does the UK scrappage scheme work?

Scrappage schemes are operational in several European countries, usually as an incentive to buy a new, less polluting vehicle.

In the UK there is a £2,000 incentive available to scrap cars that are at least ten years old in favour of any type of new car or van from participating auto-makers. The scheme runs till March 2010 or until funds run out.

Average CO2 emissions of a new car bought through the scheme are almost 10% below the 148g/km average of all new cars registered between May and December '09, and 27% below the average CO2 of cars scrapped through the scheme. About 331,000 cars have been scrapped in 9 months. If your old banger is properly recycled, it's greener to scrap it as long as you're 'upgrading to a similar model (i.e. swapping a mini for an SUV is unlikely to be very future-friendly.

Less than 0.1 per cent of the UK’s 26 million cars are electric, so there is a huge untapped potential to reduce emissions.
- The Transport Secretary

The UK government is holding out till 2011 before offering overtly green car incentives. This is to coincide with the expected mass introduction of electric and plug-in hybrid cars and widespread charging points. Consumers will be given in the region of £2000 - £5000 to allow for the maximum choice of which car they buy. To be eligible cars would need to meet modern safety standards and have a range and top speed sufficient to give mass market appeal.

Do you really need to buy a new car?

Many of us make the mistake of trying out cycling on a cheap bicycle and being put off by the effort required or safety concerns. Howewer, the government's Cycle to Work scheme can help towards investing in a quality bicycle with disc brakes and even electric-assist if you really need it. For those times when four-wheels are better than two, find a green car-hire company or join a car-share club.