VW, Nissan and Toyota enter the UK diesel scrappage market

Automaker Nissan is offering a scrappage scheme for customers to switch to all-electric Nissan LEAFs, while fellow Japanese automaker Toyota and German manufacturer Volkswagen (VW) have also entered the diesel scrappage market.

VW is offering UK customers up to £6,000 discounts on new vehicle purchases if they trade in any diesel model registered in the country before 2010 that features a Euro 1 – 4 emissions standard engine. The UK offer builds on VW’s scrappage scheme currently in place in Germany.

The scheme, which runs until 31 December 2017, covers all VW commercial vehicle brands as well as Audi, Seat and Skoda models. Incentives ranges between £1,800 to £6,000 for VW models, although Audi’s scrappage scheme rises to £8,000.

Electric vehicles (EVs) and hybrids will be covered by the scheme, which means that customers could save up to £10,000 on an EV purchase if the scrappage scheme is combined with the UK Government’s £4,500 grant for electric and low-emission vehicles. Currently, the £10,000 discount can be used on the e-Golf, reducing the list price of £32,000 by a third.

VW’s scrappage scheme follows on from the formation of a “Sustainability Council” to drive uptake and development of EVs, as the carmaker looks to move on from the dieselgate scandal. In August, VW announced that an electric version of the Microbus model will go on sale in five years’ time.

Toyota’s turn

The announcement from VW came just hours after Japanese carmaker Toyota revealed details on its own trade-in scrappage system. The Toyota deal mirrors recently-announced initiatives from the likes of Ford, Mercedes and Vauxhall.

Toyota’s scheme also runs until 31 December and offers up to £4,000 to trade in old diesel vehicles for newer models, including petrol-electric hybrids.

“Our scrappage scheme is a win-win solution. Motorists can dispose of their older vehicles and have access to our cleaner, more efficient model range,” Toyota’s managing director Paul Van der Burgh said.

“What’s more, everyone who takes up our scrappage scheme can be assured their vehicle will be disposed of in an environmentally responsible fashion that maximises recycling opportunities.”

Toyota confirmed that the scrapped vehicles will be handled at authorised treatment facilities, and at least 95% of the car components by weight will be recycled. It will help build on Toyota’s 2050 Environmental Challenge strategy, which includes a target to reduced CO2 emissions from all new Toyota vehicles by 90% compared to 2010 levels.

Turn over a new leaf

Elsewhere, Nissan revealed that it is offering customers up to £2,000 to trade in older vehicles to “switch” to a 100% electric Nissan LEAF, in a deal which could cost just £100 a month.

For September only, drivers of vehicles registered before the end of 2009 with a pre-Euro V engine can trade the vehicle in to receive up to £5,000 plus a trade-in value for the current car off a new Nissan passenger car model. A £2,000 trade-in offer is also available to purchase an approved-used Nissan LEAF 24kWh.

Last week, Ford hit the headlines for extending its scrappage scheme into the UK for the first time. Ford claim that combining the scrappage incentive with current discount offers for new vehicles, consumers could save up to £4,000 on a car or £7,000 on a van.

Speaking exclusively to edie, Ford’s vice president of sustainability Bob Holycross claimed that the scrappage scheme was one part of a “menu of initiatives” that the carmaker is introducing as it attempts to lead the industry on a business model “revolution” that captures new service-based markets.

Matt Mace

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