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Scrappage scheme fails to kickstart LCV sales

16th July 2009, Page 15
16th July 2009
Page 15
Page 15, 16th July 2009 — Scrappage scheme fails to kickstart LCV sales
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LCV SALES HAVE not been stimulated by the government's vehicle scrappage scheme. Just 325 vans have been sold through the plan so far, compared with 30,000 cars sold since the programme was launched.

Hie result has been blamed on the generally shorter lifecycle of vans due to more intensive usage the scrappage scheme only applies to vehicles that are 10 years or older.

Robin Dickeson, Society of Motor Manufacturers and Traders (SMMT) commercial vehicle manager, says: "In respect to CVs. the scheme is imperfect. It would be more relevant if it was set at seven years."

Dickeson adds that the overall success of the scrappage scheme has had the desired effect by helping to restore overall buying confidence.

Brian Bennett, a Ford spokesman, points out that net of VAT, the total benefit is only £825 from the government "which. in many cases, is the same or less than a 10-year-old Transit, thereby offering little or no incentive to change."

Steve Bridge, Mercedes-Benz van sales and marketing director, says: "We were disappointed with the 10-year rule its a big step for an operator in terms of value. A new car can start at £8,000, while a van can cost up to £20,000.

Bridge adds that there are only a restricted number of 10-year-old vans on the road at the moment, which limits those who can opt for the scheme.


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