UK extends Scrappage incentive until March

Claire Edwards

The government has extended the UK scrappage scheme until the end of March.

Originally the government had said that the scheme would run until the end of Febuary or until the £400 million put aside for the scheme had run out. As there is still some money left the Department for Business, Innovation and Skills (BIS) has moved the deadline back by 30 days.

"Against the background of the economic downturn the scrappage scheme has proved a great success, driving UK car sales, protecting jobs and supporting the supply chain for car manufacture at a time when this sector needed it most," said Business Secretary Lord Mandelson.

"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," he added.