Ford endorses scrappage scheme idea
Motor trades
12th February 2009
Ingvar Sviggum, the head of European sales at car manufacturer Ford, has joined in calls for the government to offer subsidies to people who trade in their old cars for more energy-efficient models.
Mr Sviggum suggested that payments of between £1,300 and £2,200 would probably be adequate, reports Autocar.
"It's clear that a scrappage programme might work in the UK based on what we're seeing in other European markets," he commented, adding that the UK motor trade was "very, very depressed" when compared to markets in Europe.
Recently, it emerged that the business secretary Lord Mandelson is considering the implementation of a scrappage scheme after figures revealed that year-on-year sales of new cars fell 30.9 per cent in January.
Currently, the German government offers motorists the equivalent of £2,245 to trade in vehicles that are more than nine years old.
France offers a subsidy worth of £900.
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