Scrappage schemes are mostly a waste in my view, as manufacturers participating just raise prices or drop offers.

They only way this could work here is if the car he buys (any one, new or second hand) is compliant with the ULEZ requirements, which I believe are still EU4 for petrols and 6 for diesels. My 15 Mazda3 is and EU4-compliant car (1.6 petrol), so some cheapo bangers could be had if the scheme allows that. I would be surprised (and pleasantly) if it did.

As far as can be ascertained this is a 'true' scrappage scheme. The reward is for scrapping a non ULEZ compliant vehicle that has been in the ownership of the applicant for at least one year.

Excepting perhaps any effect on the local market in one or all of the London Boroughs it's not going to raise prices or lead to dropping of offers. There's no requirement to use the grant towards any car so I'm not sure the other paragraph quoted above adds up.

The goalposts are almost bound to move at some point as EU5 is less polluting, at the local level, than EU4.

<< Scrappage schemes are mostly a waste in my view, as manufacturers participating just raise prices or drop offers. >>

They are certainly a waste in environmental terms. The last round, about 2008, saw thousands of perfectly decent vehicles trashed, just to keep the factories turning out new ones. Criminal.

It's not free money really though - it's got to be spent on a car that is suitable so more like a discounted car voucher.

Is there anything on the TfL site to say it has to be spent on a car?

I could not see such a condition when I looked. The mention of it affecting means tested benefits also suggests cash.

No, you are right - had a proper read through...even if you buy a car it does not need to meet the new standard either...all a bit odd...think Gordon may be right about some upcoming elections!

The condition is that a car belonging to the claimant, who must reside in a London Borough (or the City), which he has owned for a defined period and is not ULEZ compliant must be scrapped. However you look at it that is one less non ULEZ car. Bearing in mind petrol cars post c2005 are ULEZ compliant £2000 gives some scope. I suspect that buying a secondhand non ULEZ compliant banger and, after keeping it for a time applying again would not succeed.

I'd also point out that not all of the Benefits needed to qualify are means tested. None of PIP, DLA or Attendance Allowance are and Employment and Support Allowance can be paid for many years based solely on NI Contributions.