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ACFO Conference: Scrappage will see stocks dry-up

Date: 14 May 2009

Two of the speakers at ACFO's annual conference last week confirmed BusinessCar's front cover story that the scrappage scheme would lead to a shortage of some models.

Both Kevin Gaskell from EurotaxGlass's and Phil Robson from Peugeot believed that car makers had already got their houses in order and did not have fields of cars ready to supply the demand that is expected to be created by the Government's scrappage scheme.

Robson said: "Most makers have got to a point where production and stock are under control. People are downsizing into smaller cars. And very small cars are in big demand at the moment."

Gaskell used Germany as an example of what could happen in the UK: "You can't get a small car in Germany due to demand caused by their scrappage scheme, order times on a Polo is months and months."