Motorists are to be offered up to £2,500 in taxpayer-funded handouts for trading their old car in for a newer model.
Ministers are backing the idea of a '
cash for scrap cars' bounty under plans to kickstart the motor industry.
A scheme pioneered in Germany has led to a 21% rise in new vehicle sales in February. By contrast, the number sold here, in the UK fell by more than 21% last month, the tenth monthly drop in a row.