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May 20 2009

Teething problems surrounding the government's car scrappage incentive scheme have been cleared up and the initiative can now be rolled out in full, it has been announced.

The Society of Motor Manufacturers and Traders (SMMT) has revealed that the initial confusion among some car manufacturers over tax payments have now been clarified, meaning the scheme is being delivered by all those companies that have pledged their involvement.

FORD and HONDA postponed the introduction of their schemes earlier this week amid concerns about some of the finer details of the programme, but the SMMT said these have been rectified.

"The scrappage incentive scheme has the full support of the UK motor industry who will continue to work with government to ensure the scheme's success," said SMMT chief executive Paul Everitt.

"We are delighted to have 39 brands, including all the volume vehicle manufacturers, committed to the scheme enticing car buyers back into the showrooms," he added.

Ford has announced it has already taken 3,000 extra orders from first-time customers in the new car market thanks to the scrappage scheme.
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