UK Scrappage scheme update

by admin on September 1, 2009

The UK government’s scrappage scheme offers money off new cars in exchange for scrapping an old car that is over ten years old. Critics of the scheme said the discounts for scrapping an old car weren’t sufficient, but recent figures show that the scheme has been very successful.

vauxhall

According to recent figures, the scrappage scheme has been responsible for the sale of nearly 155,000 new cars since May, which is just 3 months. The sales of new cars means that over half of the budget the government set aside for the scrappage scheme has been spent rejuvenating the car industry. Originally the government set aside £300 million to fund the scrappage scheme.

July this year actually saw an increase in sales of new cars, which is the first time that new car sales have increased since April 2008. Sales of new cars in July this year hit 157,149, which is a rise of 2.4% on new car sales in July 2008. Of the sales of new cars, nearly a fifth of the sales were made in the South East.

New car sales are still down this year on last year’s figures, but now thanks to the scrappage scheme they are heading in the right direction.

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When you have just passed your driving test you feel on top of the world and can’t wait to rush out and choose your first car. However, you need to slow down and choose your car carefully because insurance companies are very hard on new drivers, so buying a car with a large engine or a high price tag may not be a good idea.

nova1-300x210 First cars for new drivers | What are the criteria?

Luckily there are many cars from which to choose that offer you safety and low cost insurance, coupled with that need for drive that first time drivers always crave.

Some ideas for cars for first time drivers include the Vauxhall Corsa, Astra and the venerable Nova. The Corsa is a classic car and a favourite among young drivers because it’s cheap to run, yet packs enough power to impress your friends.

Equally the Nova offers affordability yet maintains that all important ‘cool’ factor because of its pedigree and manoeuvrability.

If it’s a larger car that you’re after then the Vauxhall Astra could be to your liking. The Astra is more of a family car, so would be ideal if you had a lot of friends you wanted to drive around, or if your parents insist that you buy a more practical car.

Whichever car you choose, remember that your budget should always be the key and keep an eye on the insurance brackets of cars before you make any purchasing decisions.

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