Car scrappage scheme
Car scrappage chaos
The scheme that promises "cash for scrap cars" has hit problems.
The cash for scrap scheme that was intended to help the ailing uk car industry has descended into farce, it was claimed yesterday.
Thousands of motorists may not recieve the car they were promised on time because of a government "blunder with paperwork.
The problem which revolves around VAT, affects all 39 car makers in the scheme.
The scheme was promising to give £2000 to anyone who owned a car over 10 years old, could claim the £2000 as a discount on a new car.
A senior motor industry source said problems arose when hm revenue and customs started raising issues about VAT.
Last night, however, a spokesman for the dept for business denied there was a problem and said the scheme would go ahead as planned.
The scrappage scheme tends to give the idea that a damaged vehicle over 10 years old will automatically be worth £2000. Will this apply to a 10 year old lada with flat tyres and broken windows, i doubt it.
Selling light damaged cars or selling repairable cars can be more profitable than the governments scrappage scheme.