Despite criticisms, the car scrappage scheme seems to have made an impact on the rate of decline in the car industry. June's decline was the smallest since July 2008.
Cardiff, UK (PRWEB) August 11, 2009
SMMT figures reveal that the slowdown in the car market eases as scrappage scheme impacts.
- New car registrations fell 15.7% in June to 176,264 units
- June's decline was the smallest since July 2008, although year-to-date demand fell 25.9%
Will Thomas, head of car insurance at Confused.com, says:
"Despite criticisms, the car scrappage scheme seems to have made an impact on the rate of decline in the car industry. June's decline was the smallest since July 2008."
"The scheme is helping to get older vehicles off the road and persuading drivers to switch to safer, greener vehicles. Drivers using the scheme will choose smaller cars, meaning less carbon dioxide emissions, lower fuel consumption and lower running costs, as a direct result."
"However, it's worth drivers bearing in mind that the initial 'bonus' from the scrappage scheme could be wiped out in depreciation within the first few months of purchasing a car from new. The average car will have lost around 60% of its value by the end of its third year*. It may be worth considering 'gap' insurance policies which bridge the difference between today's value of a new car and the standard comprehensive insurance policy pay-out."
*Statistic taken from http://www.theaa.com 'Depreciation the biggest cost after fuel purchase' -After fuel, depreciation is the biggest factor affecting the cost of motoring and it can vary greatly from model to model.
For further information please contact:
Will Thomas, head of car insurance quotes, Confused.com - 02920 434 235/07875405566
Press Office - 02920 434 398
Confused.com is one of the UK's biggest and most popular price comparison services. Launched in 2002, it generates over one million quotes per month. It has expanded its range of comparison products over the last couple of years to include home insurance, travel insurance, pet insurance, van insurance, motorbike insurance, breakdown cover and energy, as well as financial services products including savings, credit cards, loans, mortgages and life insurance.
Confused.com has a panel of 83 motor insurance providers and could save customers over £205* on their annual car insurance policy.
Confused.com is not a supplier, insurance company or broker. It provides a free, objective and unbiased comparison service. By using cutting-edge technology, it has developed a series of intelligent web-based solutions that evaluate a number of risk factors to help customers with their decision-making, subsequently finding them great deals on a wide-range of insurance products, financial services, utilities and more. Confused.com's service is based on the most up-to-date information provided by UK suppliers and industry regulators.
Confused.com is owned by the Admiral Group plc. Admiral listed on the London Stock Exchange in September 2004. Confused.com is regulated by the FSA.
- 12% of customers who received a motor insurance quote in the first quarter of 2009 and provided a best alternative price saved over £205.80.