What is a scrappage scheme?

A scrappage scheme is a plan to encourage car owners to part-exchange their old, and more polluting, car for a new and eco-friendlier one. They do this by offering cash towards the new car when you’re trading the old one.

‘Scrappage’ schemes have been around for a while since they were introduced in the UK in 2009 to encourage new car sales after the financial crisis.

Why are scrappage schemes important?

Scrappage schemes are important because they incentivise people get rid of their older and more polluting cars by trading them in for newer cars, which emit less harmful emissions. This is essential if the UK government wants to meet their goal of bringing all greenhouse gas emissions to net-zero by 2050. On top of this, in November 2020 the British government announced that the sale of new petrol and diesel cars will be banned by 2030.

Is there a government scrappage scheme in 2021?

No, there is no government-backed scrappage scheme in the UK for 2021. However, some car manufacturers are still offering great discounts if you want to trade in your older car for a brand new one. We’ve listed the cars below but these include Hyundai, Kia, Lexus, Mazda, Renault and Toyota.

Is there a diesel scrappage scheme?

At the moment of writing this guide (March 2021) there was no UK-wide, government-backed scrappage scheme for diesel cars.

Current car maker scrappage schemes

Here’s a breakdown of manufacturer scrappage schemes in 2021.

Hyundai scrappage scheme

You could save between £850 and £5,000 off a new Hyundai when trading in your older petrol or diesel car. To qualify for Hyundai’s ‘Scrappage and Emission Reduction Scheme’, cars must have been registered before 1 July 2012 and conform to Euro 5 standards or lower. Euro 1 to 6 are European emission standards that define the acceptable limits for exhaust emissions of new vehicles sold in the EU and the EEA (European Economic Area) member states. They go from 1 to 6 and the higher the number the newer and less polluting it is.

The most polluting cars – those with Euro 1-3 emissions – will be scrapped and completely removed from the roads. The Euro 4-5 ones can be traded in. The scheme ends on 31st March 2021, meaning that any new Hyundai car must be registered by that date.

Full list of Hyundai discounts when you trade in your current vehicle:

  • Hyundai i10 – £850
  • Hyundai i20 – £1,700
  • Hyundai i30 – £2,400
  • Hyundai i30N – £2,500
  • Hyundai Kona hybrid – £2,000
  • Hyundai Kona electric – £2,500
  • Hyundai New Kona (petrol only) – £1,750
  • Hyundai Tucson (petrol N Line only) – £ 2,500
  • Hyundai All-new Tucson (petrol, 48 volt Hybrid diesel and Hybrid only) – £3,000
  • Hyundai IONIQ (hybrid and plug-in hybrid only) – £3,000
  • Hyundai IONIQ (electric only) – £2,500
  • Hyundai Santa Fe – £5,000

Kia scrappage scheme

Buyers keen on a new Kia model can get up to £2,500 off selected cars when they trade in their older petrol or diesel vehicle. To qualify for Kia’s scrappage scheme, the cars traded in must have been registered before 31 March 2013 and have Euro 5 standards or lower. The deal is valid from 1 January to 31 March 2021 but not available to Personal Contract Hire (PCH) buyers.

Full list of Kia discounts:

Lexus scrappage scheme

Lexus scrappage scheme runs until 31 March 2021. If your car was registered before 1 October 2012 and you have owned it for over 6 months you could save up to £4,000 on a brand new Lexus. If you’re interested, the discounts are these:

Mazda scrappage scheme

Mazda’s scrappage scheme puts the focus on CO2 emissions. If your petrol or diesel car was registered before 31 December 2011 and you trade it in for a Mazda that emits less than 161g/km of CO2 you’ll get up to £4,000 off. You also must have owned the vehicle for at least 60 days to qualify.

Traded-in cars will be scrapped by CarTakeBack – Mazda’s scrappage partner -, which recycles 95% of components and materials.

The full list of Mazda discounts is below:

Renault scrappage scheme

Interested in swapping your old car for a new Renault? Then the Renault ‘New for Old’ Scrappage Scheme means you could save up to £2,750 on some of their new models. The plan is valid for cars ordered by 31 March 2021 and registered before 30 June 2021. To qualify for it you must have owned your car for at least 90 days.

These are de discounts available:

  • Renault Clio – £500 (Iconic), £1,000 (S Edition), £750 (R.S. Line)
  • Renault Clio E-TECH Hybrid – £750 (Iconic), £1,250 (S Edition), !£1,000 (R.S. Line)
  • New Renault ZOE – £2,250 (Play), £2,500 (Iconic), £2,750 (GT Line)
  • All-new Renault CAPTUR E-TECH Plug-in Hybrid – £1,750 (S and Launch Edition)
  • Renault MEGANE Hatch & Sport Tourer – £1,500 (Iconic), £2,000 (R.S. Line)
  • Renault MEGANE E-TECH Plug-in Hybrid – £2,000 (Iconic), £2,500 (R.S. Line)
  • Renault MEGANE R.S. – £2,250
  • Renault KADJAR – £3,000 (Play & Iconic), £3,500 (S Edition & GT Line).

Toyota scrappage scheme

Toyota’s Scrappage scheme means you could save up between £2,000 and £4,000 on almost every car in its line-up. It applies to cars registered by 30 September 2012 and owned for at least 6 months. To qualify, new Toyota vehicles must be ordered before the 31 March 2021 and registered by 30 June 2021.

Here’s all the offers:

Does it matter what age or condition your trade-in car is?

The age of the car is usually important in scrappage schemes. That is because it needs to be a particular emissions standard to qualify for them, and standards are usually determined by when the vehicle was made.

However, the condition of the car you’re trading-in is not important for scrappage schemes. If you’re savvy this could mean trading in a car worth £750 for £2,000 or £3,000.

Does my car qualify for a scrappage scheme?

This will depend on the eligibility criteria of each manufacturer but, overall, the majority of trade-in deals have this type of rules:

  • Trade-in vehicles need to be around eight years old. Although this varies based on manufacturer.
  • You need to have owned the car you want to trade-in for a certain period of time – which can vary from 60 days to up to 6 months depending on the car maker.

In any case, please check the full details in the manufacturer’s website.

How to get the best deal for your car?

Getting the best deal for your car when you’re using a scrappage scheme requires a bit of research. The offers may be tempting, especially if you own an old diesel car, but you may find a better price for your car somewhere else. Shop around and keep an eye out for regular discounts on top of trade-in incentives. You could also try haggling in the dealership if you think it’s worth it.