SIMI proposes 'Swappage' scheme

Sales of an extra 17,000 cars a year, with the creation of 2,200 new jobs and a boost of €129m for the Irish state, are promised if a proposal by the Society of the Irish Motor Industry is accepted into the Budget framework, writes Brian Byrne.

SIMI's 'Swappage' scheme would involve a €2,000 VRT rebate on new cars sold where the trade-in is six years or older.

The idea was published today and Alan Nolan of SIMI says it is 'similar' to the previous Scrappage schemes, 'but more beneficial to the state'.

He added that there would also be an increase in used car sales and servicing due to the cycle of business generated by the resale of trade-ins and local jobs and businesses in 400 towns across the country would be protected.