On my way home from work yesterday I was listening to the gloom about the UK Car market and how sales had fallen off a cliff. Meanwhile in another part of Europe ,in Germany, sales had lifted 21.5% , year on year.
Scrappage incentives are believed to be the main reason why Germany has bucked the trend.The news item also added that additional manufacturer incentives on top of the government scrappage incentive also played a part in the sales surge. The German auto industry body, VDA reported that new car sales in February reached 278,000 units - the best February in a decade.
Car buyers in Germany receive an €2,500 bonus towards a new car or a used car under a year old, if they trade in a car over nine years of age. In addition, manufacturer supports acted to reduce prices even further than the scrappage incentive.
The UK government in the meantime don't have the Scrappage system in place and clearly if the system was in place the industry wouldn't be in such a slump.Instead the Government are firing dead money into producing cars which the consumer has no incentive to buy. Getting the older Junkers of the road makes sense. The new modern fuel efficient engines would help reduce the C02 output. Get it sorted please Mr Brown.
Yep, i agree, winners all round. its a way forward for uk manufacturers and lower co2 emissions.
ReplyDeleteAlthough now it seems car manufacturers have announced price rises across the board on all models, stating that costing is calculated in euros and the weak pound blah blah etc etc.
ReplyDeleteSo a 10K car will cost nearly 11k..... no winners anymore, lol