I have to give my millionaire friend £2k for a new car.!!

[sirearl]

So lets see my neighbour who lives in a million pound house and has a ten year old Bentley Turbo decides to buy a new car and I and my fellow O.A.P's have to give him £2k towards his new Bentley.?

Now lets see if we can spot a few flaws in me little darlings master plan.

1. The 2k is to improve the environment by reducing emmisions e.t.c.

So Bob the builder was after a nice little eco friendly van,but hold on He can now afford a 4X4 v8 mitsubishi warrior.

2.Auntie Rose had her eye on a nice little VW polo blue motion 75mpg,but now the old dear has decided on Dodge Challenger to pop down the W.I .

Seems to me this scheme might have been a tad more eco friendly if it was only given for vehicles that were under a certain Co level.?

Instead the manufacturers will continue to pump out all the high polluting vehicles due to the greater profit margins.

You have been watching to much listen with mother Darling.

Earl

[Chris H]

But to finance the rest of the purchase they have to get a loan from the banks!

Let's face it, they need the business to deal with the 50% tax rate.

I think Darling must have a nice little board job lined up.

[Burden]

I traded in my 6 year old Corsa last week for £1950. i feel bumped off here.

wheres my £50!!!!! hahaa

[Gord]

I just bought a car for £5 which I can trade in to get my £2k.

[kabby911]

surely there is some money to be made here, buy buying crappy cars for £25 quid and then going to buy that new smart car for £10k getting 2K off then reselling as a ex demo with 2 miles on the clock for £9k in auto trader. do 5 a week then I cant start paying 50% tax. :D

This just screams out to me to be abused :)

[mpen]

I just bought a car for £5 which I can trade in to get my £2k.

after you have owned it for 6 months............used cars are about to start going up in value

[Robert Wheeler]

I would guess that you need to have your name on the log book for 10 years, and I would hope the vehicle would need to be taxed for the road throughout that time too. But yes,I could quite easily see loads of people who have had rusting hulks on their drive nipping down to pick up their 2k each.

I think there is a potentially more interesting tax loophole introduced in this budget. I think it might be possible to get a personal and business tax rate of 0%, if you used clauses and allowances introduced in the new budget and the last budget in the right way. I am probably wrong, but I think there may be a real oversight.

[CVRO]

What came to my mind when I saw the news is that surely the price of old bangers will rise! I can see people buying them now to sell for £1,500 when the scheme starts running. :D
(Disclamer: I have not seen the details of the scheme so I have no idea if that would really be possible.)

[Morgy]

FULL DETAILS ON HOW THE SCHEME WILL OPERATE:
1. The £2,000 grant is made up of £1,000 from government with matched funding from industry. The scheme will operate from mid-May until March 2010 or until the government funding has been used.
2. It applies to commercial vans (up to 3.5 tonnes) as well as cars that are 10 years old or older.
3. The scheme is a voluntary scheme so not all manufacturers or dealers may participate.
4. How to apply
The dealers will do all the paperwork for motorists participating in the scheme and arrange for the old vehicle to be scrapped. The dealer will check that the vehicle being traded in and the new one being bought qualify under the scheme:-

OLD VEHICLE


Passenger car or small van up to 3.5 tonnes
First registered in United Kingdom on or before 31 July 1999
Currently registered with DVLA to the registered keeper making the application, or currently on Statutory Off Road Notification (SORN)
Current MOT test certificate
Registered Keeper must have a UK address
The registered keeper has been the registered keeper of the vehicle continuously for the preceding 12 calendar months before the order date of the new vehicle

NEW VEHICLE


Passenger car or small van up to 3.5 tonnes
First registered in the UK or after the date the scrappage scheme is launched and declared new at first registration in the UK with no former keepers
UK specification vehicle
Registered to the same registered keeper as the registered keeper of the eligible vehicle to be scrapped

[An Oasis]

You have been watching to much listen with mother Darling.

At this stage, no one from the motor industry has signed up. Telling!?

Regardless of what car I/you own (at ten years+ old) how is this environmentally friendly?

I’m being discriminated against as we do not buy new vehicles but let someone else take the brunt of the depreciation (no idea why they do it). Can I sue NuSlags? BTW I have umpalumpa juice, can grow a beard and can probably do anything necessary in order to claim some kind of status, which as a UK citizen I don’t appear to have.

Or is this more of the same mind numbingly dumb, ill thought out, twaddle from the idiots that like to pretend they know better?

Why don't I understand anything they say?

[Ian J]

Regardless of what car I/you own (at ten years+ old) how is this environmentally friendly?

The idea is supposed to be to help the sales of new cars by giving the owners of older cars an incentive to try and keep the automotive industry ticking over.

[KidsBeeHappy]

FULL DETAILS ON HOW THE SCHEME WILL OPERATE:
1. The £2,000 grant is made up of £1,000 from government with matched funding from industry...........


This will make very little difference. At presnet most of the manufacturers offer dealers incentives of around £1k - £3k per new vehicle, the dealer can choose to use this in anyway they wish to discount the car's price to the customer, or if they so feel, keep the lot.

(Which is why when a manufacturer offers a 0% interest deal, and you go to the dealer, he frequently tells you that the 0% is only on the list price, and it's cheaper to buy it at the dealers price and pay for finance)

So, if the government is giving a grant of £1k, and the industry giving a £1k difference - how is that going to be any different from the £2k previously offered by the industry.

Except in the fact that this time the industry only has to fund part of it, and the taxpayer the rest.

It's not going to result in any cheaper prices. And if it results in extra sales, it's only because the public mistakenly believe that they're getting a cheaper price.

Again - all spin and no substance.

[Morgy]

The point of this little scheme is to help the car manufacturers and not the people!

Parkers (http://www.parkers.co.uk/News/Budget-2009-sub-home/Cash-for-scrap-The-facts/) (where I got the other post information) have some interesting facts:

[KidsBeeHappy]

The point of this little scheme is to help the car manufacturers and not the people!

Parkers (http://www.parkers.co.uk/News/Budget-2009-sub-home/Cash-for-scrap-The-facts/) (where I got the other post information) have some interesting facts:


True enough, but if it's not helping the people, they won't bother, and it won't help the industry. People aren't going to go and buy cars to save the motor industry, only if they believe that they're getting a better price. And the scheme still depends on people buying cars, which is all ar8e about tit because the people still need to credit to do so.

[Otis Ogle]

I've got to agree it's a pretty silly idea. Anybody with a 10+ year old car generaly aren't looking for a new car anyway. Furthermore as stated several times they are still going to need to borrow money for the rest of the payment, despite getting 2K discount...

There isn't going to be any chances of people buying cars for dirt cheap and then trading it in for a 10k Car and selling with 100 or less miles on clock on autotrader for 9K because of the fact you need to be registered to the car for 12 months, and the scheme ends in March 2010...

A silly ploy to try and re-initialise the car industry which i think is only going to benefit the younger era with old bangers that can then go and get brand new cars with a 2K discount.. my friend is doing it, and loves it...

[Barnie]

i wonder what this will do to all the cars that are sat on the forecourts that are nearly new ie 6months old,

not owning a car at the moment i have no chance on getting in on this scheme and plus not many 200+bhp cars under 10k so thats another reason for me to opt out

[Barnie]

also got to wonder how much paperwork is involved for the dealer, i would think some dealers would be able to swing it for some

[Red Eye Media]

Is the neighbour an MP?

[sirearl]

Is the neighbour an MP?

No a car dealer what else.:|:)

Earl

[Ian J]

I've got to agree it's a pretty silly idea. Anybody with a 10+ year old car generaly aren't looking for a new car anyway...

Many of the older generation will buy a new car then run it for ten or more years before buying another so there will be some of market for this scheme

[spencergate]

Many of the older generation will buy a new car then run it for ten or more years before buying another so there will be some of market for this scheme

Well my mother is a case in point. She wants to change her 13 year old peugeot, but no way is she going to afford brand new, £2k notwithstanding. For her sake I hope it lowers the value of all those pre-reg nearly new cars (altho' she needs automatic, so not so many of those about).

[UKSBD]

Many of the older generation will buy a new car then run it for ten or more years before buying another so there will be some of market for this scheme

Yes, and they're the type that if the dealer throws in free car mats when
they pay the asking price, they think they have got a great deal.

[kabby911]

Been speaking to a dealer friend of mine. There is a way around the 12 months ownership ......... think registered in company name.

The dealer I know seemed to know about this scheme coming in back in november. And has been buying cars up @ less than £200, and registering in a company name. All that needs to be done then is make someone a director of the company and as from november this year they can be used to claim the 2k.

[adam]

Been speaking to a dealer friend of mine. There is a way around the 12 months ownership ......... think registered in company name.

The dealer I know seemed to know about this scheme coming in back in november. And has been buying cars up @ less than £200, and registering in a company name. All that needs to be done then is make someone a director of the company and as from november this year they can be used to claim the 2k.

The dealer is doing this? Lot of hassle and expenses is it not to make £1,000? That's all Govt chucks in so we buy the car for £200, register a company for say £50 then sod around with paperwork and risk being chucked off the scheme?

[FutureBillionaire]

This is not environmentally friendly at all, what it does is give Darling a excuse to raise taxes.

[Ian J]

Yes, and they're the type that if the dealer throws in free car mats when they pay the asking price, they think they have got a great deal.

Are you saying that anyone who buys a new car and runs it for 10 years before trading it in against another new car is automatically stupid ?

[admagic]

The germans got this right...

They are ONLY funding the trashing of old cars, to replace with small new and efficient

Trust gordon to cock it all up = just like everything else he touches.

[sirearl]

Are you saying that anyone who buys a new car and runs it for 10 years before trading it in against another new car is automatically stupid ?

Sounds like a very sensible financially viable scheme for car ownership to me.:)

Earl

[deniser]

Does anyone know how many cars are actually worth less than £2K at 10 years old? Any discount has to be balanced by what you might get by selling it privately.

[garyk]

Does anyone know how many cars are actually worth less than £2K at 10 years old? Any discount has to be balanced by what you might get by selling it privately.

Anything by kia probably!

[sirearl]

Does anyone know how many cars are actually worth less than £2K at 10 years old? .

I would think about 95%.

Earl

[complete]

I always buy cars that are prereg or 12 month very low mileage.

I bedgrudge paying the VAT, so would rather someone else did.

Also will the dealers offer this incentive on top of existing offers, as there are many deals around offering more than 2k anyway.

[KateCB]

I think that that £11,000 car you had your eye on will now be a £13,000 car......theres your 2k scrappage allowance and WHO benefits? Not you, but more than likely the finance company!

[Pap_sak]

So lets see my neighbour who lives in a million pound house and has a ten year old Bentley Turbo decides to buy a new car and I and my fellow O.A.P's have to give him £2k towards his new Bentley.?

Now lets see if we can spot a few flaws in me little darlings master plan.

1. The 2k is to improve the environment by reducing emmisions e.t.c.

So Bob the builder was after a nice little eco friendly van,but hold on He can now afford a 4X4 v8 mitsubishi warrior.

2.Auntie Rose had her eye on a nice little VW polo blue motion 75mpg,but now the old dear has decided on Dodge Challenger to pop down the W.I .

Seems to me this scheme might have been a tad more eco friendly if it was only given for vehicles that were under a certain Co level.?

Instead the manufacturers will continue to pump out all the high polluting vehicles due to the greater profit margins.

You have been watching to much listen with mother Darling.

Earl

I don't think 2K really equals the jump from from small hatch to 4X4. These days you might get sat nav and if you lucky air-can for 2K

Go back to your rantings and tone them down please.