Lord Mandelson announced today that the UK scrappage scheme, will be extended to include an additional 100,000 vehicles. New car buyers are still being offered £2,000 off although the age limit has been dropped to vehicles at aged eight years and older (the previous limit had been 10 years).

The Society of Motor Manufacturers and Traders (SMMT), the voice of the UK's auto industry, said the extension "will help to stimulate demand, giving more consumers access to it, and create a bridge to a period when economic growth is strengthened and more sustainable."