Scrappage benefit 'lost in 88 days'

The £2,000 incentive under the Government's "cash for bangers" car-scrappage scheme will be wiped out in just 88 days due to depreciation, it has been revealed. Skip related content


From Monday, owners of cars 10 years old or more will get £2,000 if they trade in their old model and buy a new one.

But according to price comparison company uSwitch.com, vehicle depreciation is set to be the "thorn in the side" of the scrappage scheme.

The company said on average, the initial £2,000 incentive is wiped out in depreciation in just 88 days of owning the new car.

In total, new vehicles purchased under the Government's car scrappage scheme are set to lose £12.5 billion in depreciation after just one year, it said. Purchasing one of the top 10 most popular new cars costs £16,232 on average and this value plummets by 49% in the first year alone, while the UK's best-selling car - the Ford Focus Style - loses £8,635 or 51% of its value in the first year.

Drivers should read the small print on car insurance policies as the write-off value varies substantially between policies.

Mark Monteiro, of uSwitch.com, said: "The Government's car-scrappage scheme has been introduced to give the ailing motor industry a much needed shot in the arm by enticing motorists to participate with a £2,000 incentive.

"However, while this is a positive bonus for consumers, it seems even this payout can't hold its weight against the magnitude of vehicle depreciation, which dents the value a car from the moment you drive off the forecourt."

He went on: "When choosing a new vehicle, motorists should ensure they research the rate of depreciation of their desired new car, as research highlights how some of the top 10 most-popular vehicles hold their value far better than others. Any motorists tempted to take advantage of the scheme should research the cost of insuring their desired new vehicle as a matter of priority, as the cost could be significantly higher than they are currently paying for their old banger.

"All drivers who are planning to switch their old cars for a newer model need to be prepared for a hike to their premiums of up to 30%."

Why to choose Toyota Pirus

Projector-beam halogen headlamps with auto-off feature
LED (light-emitting diode) headlamps with auto leveling, auto-off and headlamp washers
Integrated fog lamps
LED taillamps
Color-keyed foldable power heated outside mirrors
Hybrid Synergy Drive® blue accent badges and headlamps
15-in. 5-spoke alloy wheels with P195/65R15 tires and wheel covers
17-in. 5-spoke alloy wheels with P215/45R17 tires
Washer-linked variable intermittent windshield wipers
Rear window with electric defogger with timer and intermittent wiper
UV reduction glass windshield
Driver and front passenger water-repellent side windows
Aerodynamic rear deck spoiler
Power tilt/slide moonroof with Solar Powered Ventilation System and Remote Air Conditioning System
Roof-mounted XM Satellite Radio antenna

Navigation Package
Voice-activated touch-screen DVD navigation system with JBL® AM/FM/MP3 4-disc CD changer, eight speakers, integrated satellite radio capability, XM NavTraffic® ] capability, hands-free phone capability and music streaming via Bluetooth® wireless technology, and integrated backup camera
Safety Connect
Advanced Technology Package (includes Navigation Package)
Dynamic Radar Cruise Control (DRCC)
Pre-Collision System (PCS)
Lane Keep Assist (LKA)
Intelligent Parking Assist (IPA)
Solar Roof Package (includes Navigation Package)
Power tilt/slide moonroof with Solar Powered Ventilation System and Remote Air Conditioning System



MECHANICAL

Gasoline Engine
Type
Aluminum double overhead cam (DOHC) 16-valve VVT-i 4-cylinder
Displacement
1.8 liters (1798 cc)
Bore x stroke
3.17 in. x 3.48 in.
Compression ratio
13.0:1
Valvetrain
Four valves per cylinder with Variable Valve Timing with intelligence (VVT-i)
Induction system
Sequential multi-point EFI with Electronic Throttle Control System with intelligence (ETCS-i)
Ignition system
Electronic, with Toyota Direct Ignition (TDI)
Power output
98 hp @ 5200 rpm (73 kW @ 5200 rpm)
Torque
105 lb.-ft. @ 4000 rpm (142 N•m @ 4000 rpm)
Emission rating
Advanced Technology Partial Zero Emission Vehicle (AT-PZEV)
Electric Motor
Motor type
Permanent magnet AC synchronous motor
Power output
80 hp (60 kW)
Torque
153 lb.-ft. (207 N•m)
Voltage
650V maximum
Traction Battery
Type
Sealed Nickel-Metal Hydride (Ni-MH)
Power Output
36 hp (27 kW)
Voltage
201.6V
Hybrid System Net Power
134 hp (100 kW)
Mechanical/Performance
Transmission
Electronically controlled continuously variable transmission (ECVT)
Front Suspension
Independent MacPherson strut with stabilizer bar
Rear Suspension
Torsion beam
Steering
Electric Power Steering (EPS); rack-and-pinion with electric power-assist
Turning circle diameter, curb to curb (ft.) 34.2 34.2 34.2 36.0
Brakes
Power-assisted ventilated front disc, solid rear disc with Anti-lock Brake System (ABS) and integrated regenerative braking
Coefficient of drag (Cd) 0.25 0.25 0.25 0.25


Price Range $ 22,000 to $ 27,300

Before you buy a Ford KA, KA2/3, StreetKa 10 common faults or wear items that you should check for

Before you buy a Ford KA, KA2/3, StreetKa (1996 - Present) there are 10 common faults or wear items that you should check for. Our research amongst the experts that work on this specific model everyday, has identified:

2 engine check(s) to make
4 interior item(s) that you need to ensure work
1 wear item(s) to spot on the suspension
1 area(s) on the bodywork to inspect
2 official recall(s) that should have been completed
Our three-stage process makes it easy (even if you know nothing about cars) to spot these potential problems. For each fault we tell you:

What to look for (this is written so that it is easy to understand even if you know nothing about cars)
What it means if you find the fault
What to do (here we give you the streetwise options)
Here is just one example check for the Ford KA, KA2/3, StreetKa (1996 - Present):
What to look for
During the test drive, notice whether the revs race (rise quickly) when you press the clutch to change gear.

What it means (if you find this fault)
Racing revs are usually caused by a faulty idle speed control valve, speedo sensor or throttle potentiometer. The car needs a diagnosis test.

What to do (your options)
Negotiate the repair completed. Budget £50 for a diagnosis test and £50 - £105 for the repair/part.