Car insurance customers 'have almost completed' scrappage registrations

Tuesday, 11 May 2010

Motor insurance customers have almost completed all registrations through the government-funded scrappage scheme, according to new data.

Some 388,540 new cars were registered by car insurance policyholders during the scheme, figures from the Society for Motor Manufacturers and Traders (SMMT).

The scheme, which finished at the end of March, was introduced to provide a short-term boost to the new car sales market during the economic downturn. Motor insurance customers could trade in their old car for a brand new, lower-emission model.

During April, scrappage registrations by car insurance customers accounted for eight per cent of all the new cars registered, which was its lowest share since the scheme began last May.

SMMT chief executive, Paul Everitt, said: "The scheme helped support our economy and played a vital role in providing a much-needed boost to the UK automotive industry."

"Our latest registration forecasts suggest the 2010 market will perform better than expected, but will appear subdued compared to the peaks achieved during the scrappage scheme," he added.

Posted by Claire Carter

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