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10-04-2020, 17:00   #1
PaulRyan97
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Scrappage scheme to help the car industry post COVID-19?

I figure something like this is on the cards to help out dealers here who have had their business decimated by the current crisis.

Any ideas on what form something like this could/should take? Similar to the 2009 scheme or something different entirely? VRT rebate on new cars, maybe based on how eco-friendly the car you want is?
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10-04-2020, 17:04   #2
colm_mcm
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The distributors have plenty margin to give away if they want to make sales.
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10-04-2020, 17:19   #3
saabsaab
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I figure something like this is on the cards to help out dealers here who have had their business decimated by the current crisis.

Any ideas on what form something like this could/should take? Similar to the 2009 scheme or something different entirely? VRT rebate on new cars, maybe based on how eco-friendly the car you want is?

A grant for zero emissions or non fossil fuel vehicles only could be a runner nothing for the rest. there is an argument that not producing new cars electric or ICE avoids production of greenhouse gases. Perhaps a grant to convert and refurbish older vehicles to LPG or electric also?
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10-04-2020, 17:50   #4
PaulRyan97
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A grant for zero emissions or non fossil fuel vehicles only could be a runner nothing for the rest. there is an argument that not producing new cars electric or ICE avoids production of greenhouse gases. Perhaps a grant to convert and refurbish older vehicles to LPG or electric also?
Ideally yes you'd get the money for buying a hybrid or electric car only. The problem is some brands simply don't have a very wide range, or any range of these vehicles. I know that's the fault of the brands but the government might not want to make dealers suffer due to the choices of the brands they represent. They might allow regular petrol or diesel cars to avail of the scheme, maybe if they're under a certain emissions level and even then you get a reduced amount of money.
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10-04-2020, 17:52   #5
colm_mcm
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We already throw too much money at electric cars.
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10-04-2020, 18:12   #6
saabsaab
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Electrics aren't perfect by any means. Probably need a new power storage other the than current batteries to make the big change over that's needed. I don't believe in the non plug in hybrids, two engines being lugged around all the time. Government will be looking at bio or renewable options especially with the greens in government which I would say is a certainty.
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10-04-2020, 18:24   #7
Miscreant
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Isn't there already up to €10000 in grants/VRT rebates on electric cars and something like €7500 on plug in hybrids? I don't think non plug in hybrids benefit from grants any more.
I doubt there will be anything extra from the government in this case but the dealerships/distributors might do something to try boost their sales.
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10-04-2020, 19:06   #8
Seth Brundle
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Given the finite money available for funding schemes to assist businesses, funding one where you encourage people to spend a large amount of money where most of it leaves the country won't be high on the list IMO!
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10-04-2020, 19:38   #9
PaulRyan97
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Given the finite money available for funding schemes to assist businesses, funding one where you encourage people to spend a large amount of money where most of it leaves the country won't be high on the list IMO!
Think it's jobs in Ireland we're more worried about here.

https://www.independent.ie/life/moto...-39094122.html
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10-04-2020, 20:09   #10
Seth Brundle
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Think it's jobs in Ireland we're more worried about here.

https://www.independent.ie/life/moto...-39094122.html
I wouldn't pay much head to SIMI and to be honest their numbers in that article are a joke.
However, being realistic, how many actual jobs would a scrappage scheme help?
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10-04-2020, 20:12   #11
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no one will have any spare money for a few years whilst we get things sorted.
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10-04-2020, 20:55   #12
mikeecho
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no one will have any spare money for a few years whilst we get things sorted.
I totally agree.

Grants for upgrading to zero or low emission cars, for houses, building projects, motorways etc etc etc.. are gone.

Increased property tax, motor tax, carbon tax, VAT, Duty.. it's all to come.

It's unavoidable.
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10-04-2020, 20:57   #13
Toyotafanboi
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I wouldn't pay much head to SIMI and to be honest their numbers in that article are a joke.
However, being realistic, how many actual jobs would a scrappage scheme help?
I'd say it's very difficult to put a figure on that without making up a lot of things or a fortnight's intensive research.

But it doesn't take a genius to realise that buying and selling the product will keep people in jobs. It's a bit dim witted to take the approach that when buying a car most of the money goes put of the country. Purchasing in an Irish dealer will support Irish jobs.

Not just the salesmen, the whole dealership gets something from it and the dealerships suppliers too. Mechanics to PDI the new cars, parts departments to supply mats and mud flaps, valeters to prepare the new cars, motor factors to supply number plates and disc holders tyre shine. Lorry drivers to bring in the new cars and take away the scrapers, administration staff etc.

Please God dealers will open back up in time and a few people buy cars later in the year and I can work again. I'm not saying we need government financial stimulus or handouts but local support and business is something you'd hope to have if people can afford to do so.
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10-04-2020, 21:08   #14
Del2005
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Originally Posted by Toyotafanboi View Post
I'd say it's very difficult to put a figure on that without making up a lot of things or a fortnight's intensive research.

But it doesn't take a genius to realise that buying and selling the product will keep people in jobs. It's a bit dim witted to take the approach that when buying a car most of the money goes put of the country. Purchasing in an Irish dealer will support Irish jobs.

Not just the salesmen, the whole dealership gets something from it and the dealerships suppliers too. Mechanics to PDI the new cars, parts departments to supply mats and mud flaps, valeters to prepare the new cars, motor factors to supply number plates and disc holders tyre shine. Lorry drivers to bring in the new cars and take away the scrapers, administration staff etc.

Please God dealers will open back up in time and a few people buy cars later in the year and I can work again. I'm not saying we need government financial stimulus or handouts but local support and business is something you'd hope to have if people can afford to do so.
There's a lot of industries and services that don't send the majority of the money out of the country they should be supported before anyone else.
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10-04-2020, 21:12   #15
L-M
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Scrappage schemes don’t work and they definitely aren’t what’s needed.

If you think about it logically, who has a 20 year old car that has the money to buy a new car? Or the interest?

Scrappage would just devalue the used cars. Who would buy a 17/18 if you could just get a big discount off a new one? And these are the people who are the ones who actually change and buy new cars, to allow the people with 12/13 to trade up a few years, to allow the 07/08s to trade up a few years, the circle continues.

Unless, and I’m not for one Second suggesting this, the government offered cheap money like the offered those 2 percent council mortgages, people won’t have the money to buy new cars.

What’s drives new car sales is a good economy and consumer confidence. so the circle of life as mentioned above can continue.
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