Although the scrappage scheme coming to an end is alarming the car and car finance industries, car buyers may still be able to get discounts following the end of the scheme. Carmakers want to keep up the strong start to 2010 sales, and many manufacturers who have benefitted from the vehicle finance scheme could introduce their own discount schemes to attract more customers.

The managing director of Nissan UK, Paul Wilcox, recently pointed out in motor finance news that many car companies will introduce their own discount schemes. He was reported as saying: 'Last year about 80% of Hyundai's retail sales were under the scrappage scheme . They did particularly well, but they won't want to lose the momentum. I expect there'll be more discount schemes - in all different shapes and sizes - from a number of other manufacturers.'

Wilcox did predict a slight contraction however: 'Sales will level off, not only because of the scrappage scheme closing but also because of the election. People will be fairly cautious about what the next government is planning to do - and that's probably not a bad time to buy because discounts should be available. I expect things to pick up again in the autumn though.'