With the economy in chaos and auto companies crashing almost as fast as airlines go under and banks go bad, one motive is simply to try and sustain the auto industry by "subsidising" new car sales... any new car sales.
Ergo, to work best it is wise not to worry about a few short term environmental concerns though of course, if they can move people from gas guzzlers to fuel sippers there may be some gains.
The trouble is that it is best to focus on very high mileage gas guzzlers else if lower mileage vehicles are removed the environmental gains from an ashes to ashes perspective may be compromised.
The trouble with that is that most owners of high mileage low value vehicles will tend to run them till they drop and then buy some suitable low price high mileage replacement and not go buy a brand new car. I'd guess most new cars sales originate from fleet buyers or from people who always trade in their last car within a year or two of new when they get the best trade in.
So I am at a loss to see how the UKs rules actually work because the new car buyer has to have owned his old clunker for at least a year.
But work they appear to if the SMMT figures are to be believed.
Of course, it could be that cash for clunkers is a coincidental circumstance to a natural recovery, or that some people have found a way round the rules, sold their two year old cars privately and bough an old wreck for peanuts to use in the new car purchase trade in. If anyone knows how, let me know.
JMW