Just got off the phone to my Fiat dealer.
I ordered a 500 back in March and was reticent to do so as I'd heard this scheme was due to be introduced. My dealer was very sceptical at the time and said 'why not order the car anyway. IF the scheme comes in you can cancel and immediately re-order'
This morning, he's saying that Fiat are talking to Government lawyers to try and exempt the 500 from the scheme. He says that if the Government insist on making the 500 part of the scheme then Fiat will immediately raise the price of the 500 by £1000 (to cover their contribution to the scrappage scheme)!!!
Any cars ordered before May 15th are not eligible for the scheme. I told him if this was the case then I'd cancel my order and re-order a 500 in a couple of weeks time. He said this would be at a new higher price.
Surely if dealers are just going to raise the cost of their vehicles then nobody is any better off than the situation we have at the moment? (Apart from the Govt - who get the VAT from the sale of a new vehicle thereby reimbursing the £1k they've already contributed to the scheme!) - Rip off Britain!
Well that would still be good news for those of us who expect to get less than £1000 for our 10 year car.
But that would also affect potential customers who don't have old cars. If I were thinking about buying a 500 and suddenly they put the price up by a grand, I'd go to a manufacturer who doesn't! ...especially since they recently raised the price by 200 quid anyway. I'd be interested to see how they try and explain their way out of that one.
To be honest, I'm not sure I believe your dealer, for three reasons (that spring to mind):
Firstly, in my experience, dealers rarely have a clue about the cars they're selling, let alone knowledgable about the behind-closed-doors politics going on at manufacturer board meetings.
Secondly, the whole point of the scheme is to help manufacturers sell cars, yet this guy says they are actually spending serious money to try and stop them selling cars (paying lawyers). Is the 500 really such a good bargain that they would prefer to sell less of them than knock a grand off? I don't think so.
Thirdly, it would be a marketing nightmare for Fiat. "Buy a 500, it's £1000 more expensive than it was yesterday, because we don't want to give you a good deal, and you get nothing more for your money. If you want good value, go to another manufacturer". I look forward to seeing that on a billboard.
As friendly as your dealer may seem, I suspect he's feeding you some BS, just to make sure you don't cancel your order. If he thought that the scrappage deal would stop you from cancelling, he'd probably do a U-turn and say that he's "just" been told that it is supported.