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Is the Government’s Bangers for Cash scheme really as green as it makes out?

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The Government’s recently introduced scrappage scheme was launched as a green initiative to get the old, higher polluting vehicles off Britain’s roads. But all is not as it seems, it would appear.

Some environmentalists claim that Bangers for Cash is nothing more than a huge bailout, masquerading as green initiative. Under the Government’s new scheme, if you swap your old car for a brand new model, you’ll receive an incentive payment of up to £2,000 – and you may well discover that you’ll get a surprisingly good deal on new car insurance too. Similar schemes have already proven successful in other European countries such as Germany, France and Italy.

But the Environmental Transport Association (ETA) says that while scrapping incentives are labelled ‘green’ because they can subsidise the purchase of fuel-efficient cars, they fail to take account of the amount of energy required to build a new vehicle.

ETA director Andrew Davis, said: “Altering the way you drive and keeping a car longer can be a greener option than buying new.

“Even if the new model you buy is more economical, once you take into account the energy needed to scrap the old car and build an entirely new one, the overall benefits are likely to be tiny.”

The ETA advises driver to keep their old cars until they are no longer reliable and follow its green driving advice.

Of course, there are always two sides to every coin and the Society of Motor Manufacturers is adamant that the scrappage scheme is desperately needed to boost a flagging car industry in the UK. An industry which saw new car registrations fall by 30% in March, compared to the same month last year.

So, who do we believe? The Government and the UK motor trade, or the ETA?

Only time will reveal the answer.