Pollution from transport is being cut substantially through exhaust emissions regulations and vehicle manufacturers’ investments in cleaner technologies. The benefits of these improvements, however, are delayed as car fleet renewal takes a decade on average in Europe. Car scrappage schemes can be used to accelerate the uptake of new, cleaner vehicles.

This publication analyses the effectiveness of these programmes in protecting the environment and reviews the schemes introduced to date in Europe and North America. Three complementary issues are addressed to help make pragmatic recommendations:

- What are the effects of scrapping schemes on the car market and the national economy?

- What are the effects of these programmes on the environment?

- And can scrappage schemes be useful in former socialist countries?