New car finance allowance to be offered by government
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New car finance grants are to be offered by the UK government in an attempt to persuade people to buy more efficient motors.
New car finance grants will be offered to people in the UK who wish to trade in their old vehicles for more modern, fuel-efficient models, the government has announced.In his Budget speech yesterday, Alistair Darling announced the introduction of the nationwide car scrappage scheme which will see drivers of vehicles which are ten years old or more given grants of up to £2,000 to swap them for newer, more environmentally friendly cars.
It is hoped that the move will help cut down the total emissions from transport in the UK as well as kick-starting the flagging motor industry.
Critics of the scheme have questioned whether the environmental standards governing the new cars will be strict enough to guarantee an emissions reduction and pointed out the initiative may increase future car ownership.
Recently, the government also announced that it will also be offering people incentives of up to £5,000 to buy cars powered completely by electricity.
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