An August end for scrappage?
There's talk in the motor industry that scrappage has been so popular that it's likely to finish six months early.
Some estimates are that over 35,000 new cars were bought under the scheme in the first two weeks since its introduction in mid-May. With a max of 300,000 cars available through scrappage deals, that means it'll be over by August.
Is that really likely?
We're not so sure. Doubtless there were lots of people waiting to pounce as soon as the scheme got started, meaning the initial flurry of activity may not last.
Of course, reports of limited time left may only serve to galvanise more people into action and make the story a self-fulfilling prophesy!
If scrappage did end in August it would be especially bad timing as September is traditionally a good month for new car sales.
It's also worth noting that so far, scrappage seems to be used more for smaller vehicles. For example, the Ford Ka and the Citroen C1 have been very popular choices. Amazingly, Hyundai claims that demand in May was 750% higher than they expect in a normal month – with 9000 cars sold and the little i10 leading the charge.
However – what if you don't want to buy a smaller car?
Those with high-end and sports vehicles are unlikely to be tempted by the prospect of £2000 off a £60,000 car, for example. Particularly if you could sell your car instead for many more times that amount and use the money as you please.
Similarly, there are still those that just want to sell their vehicles, not trade up (for example if you're looking to free up cash or are about to move abroad).
The net result is that quality used cars are still very much in demand.
So if you've been worrying “how am I going to sell my car” while scrappage is running – give us a call at Sell Car UK!
(Incidentally, the Retail Motor Industry Federation and AM Online have teamed up to survey dealers about how the scrappage scheme is affecting them. It should provide some interesting details on the types of cars that are and are not selling.)
Some estimates are that over 35,000 new cars were bought under the scheme in the first two weeks since its introduction in mid-May. With a max of 300,000 cars available through scrappage deals, that means it'll be over by August.
Is that really likely?
We're not so sure. Doubtless there were lots of people waiting to pounce as soon as the scheme got started, meaning the initial flurry of activity may not last.
Of course, reports of limited time left may only serve to galvanise more people into action and make the story a self-fulfilling prophesy!
If scrappage did end in August it would be especially bad timing as September is traditionally a good month for new car sales.
It's also worth noting that so far, scrappage seems to be used more for smaller vehicles. For example, the Ford Ka and the Citroen C1 have been very popular choices. Amazingly, Hyundai claims that demand in May was 750% higher than they expect in a normal month – with 9000 cars sold and the little i10 leading the charge.
However – what if you don't want to buy a smaller car?
Those with high-end and sports vehicles are unlikely to be tempted by the prospect of £2000 off a £60,000 car, for example. Particularly if you could sell your car instead for many more times that amount and use the money as you please.
Similarly, there are still those that just want to sell their vehicles, not trade up (for example if you're looking to free up cash or are about to move abroad).
The net result is that quality used cars are still very much in demand.
So if you've been worrying “how am I going to sell my car” while scrappage is running – give us a call at Sell Car UK!
(Incidentally, the Retail Motor Industry Federation and AM Online have teamed up to survey dealers about how the scrappage scheme is affecting them. It should provide some interesting details on the types of cars that are and are not selling.)
posted by Admin at
09:10
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