A diesel scrappage scheme offers cash incentives to trade old, polluting cars for cleaner models. 

Scrappage schemes first launched in 2009 to cut emissions, boost air quality, and encourage the switch to greener vehicles. The goal? A cleaner environment and more sustainable transport for a climate positive future.

Right now, there’s no UK-wide scrappage scheme in place. But there are some great alternatives out there, we’ll explain these and how they work below. 

Key takeaways

• Current UK scrappage schemes
• Past UK scrappage schemes
• What cars qualify for a scrappage scheme?
• How do scrappage schemes work?
• Is the government car scrappage scheme still running?
• Do you need to tell the DVLA if you scrap your car?
• Final thoughts

Current UK scrappage schemes 

There isn’t currently a UK diesel scrappage scheme. But there are a few manufacturer-led projects that aim to take older diesel vehicles off the roads.

These include:

• London ULEZ Car Scrappage Scheme
• Volkswagen Car Scrappage
• Birmingham CAZ Scrappage Scheme

ULEZ car scrappage scheme

The ULEZ scrappage scheme in London aimed to cut air pollution by removing older, high-emission vehicles that didn’t meet Euro 6 diesel or Euro 4 petrol standards. 

It offered financial incentives for switching to cleaner cars, including up to £1,000 for motorcycles, £2,000 for cars, and £10,000 for wheelchair-accessible vehicles. 

The scheme closed on 8 September 2024 after receiving over 54,000 applications. You cannot apply now, but existing submissions will still be processed.

Drivers of ULEZ non-compliant vehicles must still pay the £12.50 charge when driving in the zone in 2025.

Volkswagen car scrappage

Have you missed the ULEZ deadline? 

Volkswagen Group runs a scrappage scheme offering discounts of up to £6,000 when you trade in an older diesel vehicle. This incentive applies when buying a new, more environmentally friendly model from their range.

The scheme encourages drivers to replace high-emission cars with newer alternatives, helping reduce pollution and supporting the shift towards more sustainable driving, whether that’s a fuel-efficient petrol, hybrid, or electric Volkswagen Group vehicle.

The eligibility terms include:

• Volkswagen cars only
• Diesel vehicles with emission standards below Euro 5
• Vehicle must be registered in the owner’s name at least 6 months before trade-in
• You must be purchasing a new car from the Volkswagen group (e.g., Audi, Skoda, and SEAT)

Birmingham CAZ car scrappage

The Birmingham Clean Air Zone (CAZ) aims to remove high-polluting vehicles from the road and gives you three great options if you’re eligible. You can get:

• £2,000 straight into your bank account
• £1,600 plus £1,500 in TfWM travel credit (total: £3,100)
• £1,000 plus two £1,500 TfWM credits (total: £4,000)

You need a non-compliant vehicle and live or work in the CAZ to qualify. You must’ve owned the car since before the 1st of June 2021 and meet certain income or job criteria.

The good news is that there's no fixed end date—the scheme runs until the £4m Government funding runs out.

Past UK scrappage schemes

When searching for diesel scrapped schemes, you might notice one trend—lots of options and brand-led initiatives pop up, but none seem to be in action. 

To help you separate the past from the present, we’ve rounded up the inactive UK scrappage schemes below:

• Renault's new for-old scheme
• Tesla scrappage scheme 
• Kia car scrappage scheme 
• Audi scrappage scheme
• Toyota scrappage scheme
• Scotland’s low emissions support fund (ended 2023)

Other manufacturers that used to offer scrappage/trade-in deals include BMW, Fiat, Ford, Mazda, Mercedes, Mitsubishi, Skoda, and Vauxhall. 

Hopefully, we’ll see some new schemes appearing in the next few years.

What cars qualify for a scrappage scheme?

Your car must meet certain age and emissions standards to qualify for a UK scrappage scheme. 

For diesel vehicles, UK scrappage schemes typically accept cars registered after 2015 that do not meet current emissions standards. If petrol cars are accepted, they must be registered after 2005.

The vehicle must also be in the owner’s name for at least six months. Some schemes may have additional criteria, such as income or location restrictions. 

If a manufacturer runs the scheme, you’ll have to have one of their vehicles participate. They usually don’t allow competitor makes.

Always check specific scheme rules for complete eligibility details, as they are never exactly the same.

How do scrappage schemes work?

Scrappage schemes let you trade in your old car for cash or discounts on a new, eco-friendly vehicle. 

Simply, you trade in your old car, and in return, you get a financial incentive to upgrade to a cleaner model, reducing pollution and saving you money in the process.

You’ll also need your car registration details and certain documents to prove ownership. Gather these beforehand to save time.

However, you must meet strict eligibility criteria, as detailed above.

Do you get money for scrapping a car in the UK?

​Yes, you can receive money for scrapping your diesel car through various scrappage schemes. 

Government-backed programs may offer grants up to £4,000 (Birmingham CAZ), while manufacturer-led initiatives can provide discounts on new vehicles ranging from £1,000 to £5,000. 

Is the government car scrappage scheme still running?

No, the UK government does not currently offer a nationwide car scrappage scheme. The last national program ended in 2009, and there are no plans for a new one.

Since then, scrappage schemes have been localised or manufacturer-led, such as the options listed on this page. 

Do you need to tell the DVLA if you scrap your car?

You must tell the DVLA if you scrap your car so they can update their records. 

Once your car is scrapped or traded in, you should inform them using the V5C registration document. This lets them know the vehicle is off the road, and you’ll avoid fines for not keeping your details up to date!

Final thoughts

A diesel scrappage scheme is key to making greener decisions, and hopefully, we’ll see more of these in 2025 and beyond. 

Keep learning about sustainable initiatives and the latest auto news today. Read more on the Bumper blog.

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