The UK’s National Franchised Dealers Association (NFDA) has requested a meeting with the government to discuss an extension of the current motor vehicle scrappage incentive scheme.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
The announcement came hours after a similar scheme in the US ended, with about 500,000 sales attributed to the US$3bn programme.
“To say the [UK] scheme has been successful since its introduction would be a mass understatement,” said NFDA chairman Paul Williams.
“But with the retail economic climate still fragile and an increase in VAT scheduled for 1 January 2010, an extension of the initiative is vital.
“Further, our research tells us that, as these sales are purely incremental, the VAT earned on them has made it a self funded scheme. Indeed, if VAT were to increase government could be in receipt of a surplus.”
