Downing Street Says » Car Scrappage Scheme

» Monday, May 18, 2009

Car Scrappage Scheme

Put that in the past the Government had tried to persuade people against buying cars, whereas this scheme seemed to promote the opposite, the PMS replied that the reason people were buying less cars was because of what was happening globally. We were seeing sharp reductions in demand for cars, not just in Britain but everywhere. We had introduced the scrappage scheme to help the British car industry and the British car components industry.

Put that this scheme contrasted with the Governments environmental initiatives, the PMS said that what we had seen over the last 12 months or so was something that was clearly not the result of a long-term trend in car production and car demand. What we had seen was a significant reduction in demand for cars, not just in Britain, but right across the world.

Asked if the Government was concerned about any last minute glitches, the PMS said BERR were responding to this. People would have seen the statement from Ford and we were confident that the manufacturers and the dealers would get the arrangements and paperwork sorted quickly. Many companies were ready to go such as Nissan, Vauxhall, Toyota and BMW. We understood that Ford were taking many orders, but it would take a few more days to finalise the arrangements before they could start deliveries.

Asked if it was more the fault of car companies rather than the Government, the PMS said that it was for someone that was more of an expert in these matters than him to pass judgement on. Many companies were ready to go and we would expect Ford to be in a position to finalise their arrangements within the next few days.

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