Don’t miss your £2000 saving, Scrappage scheme extended by one month

Business secretary Lord Mandelson announced last night that the government’s scrappage scheme would be extended until March 31st or until the £400 million funding runs out, which ever happens first. The government said that extending the ‘cash for bangers’ scheme by another month will give car dealers and manufacturers “more time to prepare for and operate the exit phase of the scheme”. The scrappage deal is responsible for 17.8% of new car registrations in January totaling 26,332 cars out of the 145,500 new car registered. New car sales were up by 29.8%, which is surprising considering the cold snap stopped people walking round for nearly a month.

Lord Mandelson said, “If you’re considering buying a new car, you should place your order as soon as possible to avoid disappointment, because the budget is strictly limited.” With only 50,000 new car registrations left within the budget these will soon go, so if you are after a new car part of the scheme we advise buyers to be quick.

Car dealerships should consider advertising the scheme using large impactful banners, informing the public how long they have left to get the £2000 saving. At Portfolio we would recommend Windscreen and car-top display as excellent eye-catching methods of advertising. The scheme extension allows car dealers to make the most of the scheme and should offer some relief for new car sales in the first quarter of the year.