Which part of the car industry will be helped by the scrappage scheme?
No-one really knows who will benefit most from the scrappage scheme, or to what extent. Since the UK car industry exports the vast majority of the cars made in the UK it’s not clear whether UK manufacturing will benefit. Even though there is no CO2 limit on the new cars motorists will be able to buy, it seems likely tat small cars will be most popular. That means European manufacturers such as FIat, Seat, Renault, Volkswagen, Citroen and Peugeot may be best placed to reap the rewards. Toyota, Honda and Nissan may also do well out of the scheme, while the UK’s favourite manufacturers Ford and Vauxhall should sell good amount of the Ka, Fiesta, Focus and Agila, Corsa and Astra respectively. Mini will be hoping for a share of the new sales too.
