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The car recycling scheme allows drivers of highly polluting cars to trade in their old petrol or diesel car for a car that uses cleaner energy. In this blog, we explain everything you need to know about the scheme, including its scope in the UK, car dealers offering deals and the most recent updates to the scheme since ULEZ’s expansion plans.
What is the car recycling scheme?
The Vehicle Scrapper Scheme, also known as the Vehicle Takeback Scheme or the Vehicle Scrapper Scheme, is a government incentive scheme that was first introduced in 2009 for at least 12 months and replaces them with more environmentally friendly cars, vans or motorcycles.
Manufacturers have also introduced their own recycling schemes to encourage the sale of environmentally friendly ULEZ, CAZ and LEZ vehicles.
How does the car recycling scheme work?
How the recycling scheme works depends on the city and manufacturer. For example, if you choose to use a government-funded scrappage scheme, you can generally choose any new vehicle that meets the low emission zone standards for that area. However, if you choose to use a scheme created by one of the manufacturers, you will only be able to select a vehicle from that manufacturer.
How do I know if my car is eligible for the recycling program?
You can enter your license plate on your city’s transportation or government website, which can be found below:
The acceptability of your vehicle usually depends on the age of the vehicle, which determines whether the vehicle will meet the emissions standards of an emission zone. The minimum standards are as follows. Please note that this is a guide; You must check your vehicle with the government tools listed above.
Euro 3 for motorcycles, mopeds, motorized tricycles and quadricycles (category L)
Euro 3 for motorcycles came into effect for all new registrations in 2007, so motorcycles built after that date are more likely to be compliant.
Read more about ULEZ for motorcycles in this blog. You can also find a list of the best compatible commuter bikes.
Euro 4 for gasoline cars, vans, minibuses and other specialized vehicles.
Euro 4 (NOx) for petrol vehicles is introduced for all new registrations from 1 January 2006, so vehicles built after that date are more likely to comply.
Euro 6 for passenger cars with a diesel engine, vans and minibuses and other specialized vehicles.
Euro 6 (NOx and PM) for diesel vehicles has been in force since September 2015, so vehicles registered after this date are more likely to comply.
London State ULEZ TfL Recycling Scheme 2023
Although the scrappage scheme ended in 2022, it has since returned in 2023 following the government’s announcement of ULEZ expansion plans. This was launched to help Londoners eligible for certain low income or disability benefits get rid of cars, motorcycles and wheelchair accessible vehicles in order to prepare for the ULEZ expansion from 29 August 2023.
Those who qualify can receive the following payment when their car is scrapped:
- Car scrapping: £2,000.
- Car scrapping: £1,600 (plus one annual adult bus and tram pass)
- Car recycling: £1,200 (plus two annual bus and tram passes for adults)
- Motorcycle scrapping: £1,000.
- Motorcycle disposal: £600 (plus one annual bus and tram pass for adults)
- Motorcycle recycling: £200 (plus two annual bus and tram passes for adults)
- Disposal of a wheelchair accessible vehicle (car or van): £5,000.
- Wheelchair accessible car upgrade (van only): £5,000.
Please note that some of the payments above may affect your means-tested benefits. You can find out how the lump sum may affect your benefits here.
ULEZ van recycling scheme
The ULEZ van and van recycling scheme works a little differently as it is available to eligible sole proprietorships, micro-enterprises (i.e. up to 10 employees) or charities with a registered address in London. Under the scheme, individuals or businesses can scrap or retrofit a van or van that does not meet the ULEZ emissions standard.
Successful applicants can receive a payout between £5,000 and £9,500 depending on the vehicle you recycle or upgrade.
- Disassemble the van: £5,000.
- Minibus disposal: £7,000.
- Van upgrade: £5,000.
- Minibus upgrade: £5,000.
- Reworking the van and replacing it with an electric van: £7,500
- Reworking the van and replacing it with an electric van: £9,500
Scotland recycling scheme
Transport Scotland has a Low Emission Zone Support Fund to help eligible households within 20km of LEZ cities such as Glasgow, Edinburgh, Aberdeen and Dundee dispose of non-compliant vehicles. The government used to also have an LEZ modernization fund, but the scheme has since been halted.
If you recycle an eligible vehicle using the LEZ Support Fund scheme, you can receive an initial grant of £2,000 towards the disposal of your vehicle, as well as an additional £1,000 towards active and shared travel options through the Travel Better Fund. You can apply for the scheme online.
The Scottish Government has also recently launched a recycling pilot scheme in low income and air quality controlled areas in Scotland (including communities on the islands). The scheme offers cash incentives and Travel Better vouchers to households that remove polluting vehicles from the roads.
Eligible households can receive a cash grant of £2,000 for scrapping an old car and up to £1,000 for greener travel options such as a new or used bike, car club membership and driving credits or a multi-ride public transport ticket. for bus or rail transport.
The scheme has been met with some criticism as only 300 vehicles can be scrapped in its current form. However, pre-existing schemes such as the LEZ Support Fund and the LEZ Modernization Fund have provided more than 3,647 grants to people. Overall, over £8 million has been made available to help households and businesses prepare for the LEZ.
Birmingham recycling scheme
If you have a vehicle that will be subject to the Birmingham CAZ Daily Driving Fee and meets the following criteria, you can apply for the city’s scrappage scheme.
- You have been the registered owner or custodian of a non-compliant vehicle since September 10, 2018.
- You earn less than £30,000 a year
- You work at least 18 hours a week in the Clean Air Zone.
Successful applicants who scrap their car can receive a grant of £2,000. This amount can be used to get a travel credit or to buy a car that meets emission standards in the clean air zone.
Bristol recycling scheme
Individuals wishing to apply for the CAZ Bristol Recycling Scheme must:
- Work in a clean air zone
- Earn less than £27,000
- Be the registered owner of the vehicle in the V5C logbook.
- Owned the car until November 5, 2021
There are also business grants for those who work in the zone.
Eligible private car owners and businesses can receive a £2,000 grant with the option of an additional £5,000 car loan.
Sheffield recycling scheme
Sheffield is offering financial support to eligible individuals and businesses in the lead up to the Clean Air Zone. To be eligible, individuals must:
- Own car that you have to pay to drive in a clean air zone
- Have a valid vehicle inspection (or vehicle conformity certificate for licensed taxis) for the vehicle.
- Owned the car for 12 months at the time of application and until December 12, 2022.
- Use a UK bank account
Which car dealers offer a recycling scheme?
When the scrappage scheme was first introduced in 2009, a number of manufacturers offered incentives to scrap old vehicles, including VW, Honda, Citroen, Dacia and Vauxhall. However, applications have since been closed and the only manufacturer currently offering scrappage incentives is the Renault New for Old scheme.
Scheme Renault New for Old
Renault is currently offering a discount of up to £2,000 when drivers trade in their non-compliant vehicles for a new Renault model. The amount you’ll be offered depends on the car you’re looking to purchase, from £250 for the Clio techno TCe 90 MY22 or Captur E-Tech evolution E-Tech 145 full hybrid to £2,000 for the Arkana rs range. Mild hybrid TCe 140.
The scheme is available to those who have owned a non-compliant vehicle for 90 days or more and cannot be used in conjunction with other incentive schemes.
Can I get a used car recycling program?
The recycling scheme is only available for vehicles that do not meet the new Low Emissions Clean Air Zone standards. By its very nature, this means older used vehicles are more likely to be affected.
Car insurance from professionals
Whether you have a favorite classic car that you’re thinking about upgrading, or traded in your polluting car for a compatible one, we can provide you with an affordable car insurance quote. Call us on 0800 369 8590 or request a call back at a convenient time for you.
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