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Warning over new scrappage plans

May 19 2009

The government's introduction of the new scrappage incentive to encourage more people to replace their old cars with new models could have a negative impact on local garages and repair shops, it has been claimed.

According to the Association of British Drivers (ABD), repair workers could lose business because there will be fewer used cars on the roads that are in need of repair.

"There are a huge number of garages and small concerns that actually work on old cars rather than new ones," explained Hugh Bladon, a spokesman for the ABD.

He continued: "Those guys are quite likely to end up losing business."

Mr Bladon also warned that the £2,000 incentive may not be enough to help many drivers of older used cars to af FORD new models, pointing out that the reason most drivers bought used cars was because they are more affordable than new models.

Chancellor Alistair Darling announced plans for the scrappage scheme in his Budget speech last month, claiming it would help boost the UK car industry.

Similar schemes have already been developed in Europe and have been hugely popular with drivers.
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