Diesel car scrappage scheme: everything you need to know

Considering scrapping your diesel car for a ULEX compliant vehicle? Get the lowdown from AXA on what you need to consider before upgrading!

Buying or selling a car

8 February 2022

Thinking of trading in your old car for a new, greener model? Now might be the perfect time, thanks to the introduction of diesel car scrappage schemes.

With the government’s ban on the sale of petrol and diesel cars from 2030 and the implementation of clean air zones, popular manufacturers are now offering generous deals for people to swap their older cars to new ‘clean cars’.

Find out all you need to know:

What is the diesel car scrappage scheme?

Concerns over air pollution in the UK’s major cities means the government are committed to invest £1.8 billion in infrastructure and grants, to support the uptake of zero emission vehicles.

Car scrappage schemes aim at reducing total vehicle emissions and help boost sales for manufacturers. The schemes help incentivise people to swap their older diesel vehicles, to new, eco-friendly cars. There are also deals for trading in old petrol cars too.

How does the car scrappage scheme work?

In September 2021, nearly 33,000 electric vehicles joined UK roads, 50% up from the previous year, and almost the same figure as total EV sales in 2019.

So, the rise in people swapping to cleaner cars has caused some manufacturers to start offering car scrappages schemes. However, if you trade in your car with a manufacturer, you’ll only be able to buy a new vehicle that’s offered by them, though with savings up to £8,000. Different schemes will have different rules for eligibility, which you can check with the dealership.

If you use a council backed government scheme, you’ll normally be able to buy any Euro 6 compliant vehicle that you want – although you must meet certain criteria. Discounts are offered between £1,000-£5,000.

Does my car qualify for the scrappage scheme?

For most scrappage schemes, the main factor is the age of the car, as this means it’s compliant with European emission standards or not.

The condition of your car is not as important as the amount of emissions it produces, since the schemes are to encourage owners to swap to a greener vehicle.

The easiest way to check if your car would qualify is by checking on manufacturers or local government websites, to see if your car meets the requirements.

What scrappage schemes are currently available?

London’s TfL ULEZ car and motorcycle scheme, however you can only get this incentive if you live in London, on a low income or with disabilities.

Birmingham’s vehicle scrappage and travel credit scheme, gives you access to a grant which you can either use for ‘travel credit’, on trains, buses and Metro, or to buy a new car that meets the requirements of the Birmingham Clean Air Zone.

Dealerships such as Kia, Lexus and Renault also offer schemes, with discounts on what car you buy, and the vehicle you’re trading in.

Most of the scrappage schemes will only run for a limited period so you can keep up to date by looking at sites like AutoTrader.

In summary

For cars, the future is electric – with more and more manufacturers set to take advantage of the 2030 ban on petrol and diesel vehicles, by bringing in car scrappage schemes.

But, whichever car you choose to drive, you can rest assured that you’re in safe hands with AXA car insurance.