Guide

How scrappage schemes work

A practical walkthrough of how scrappage and replacement programs are usually structured, funded, and administered.

Last reviewed: February 21, 2026

Most scrappage programs follow the same structure:

  1. Eligibility screening
  2. Document validation
  3. Conditional approval
  4. Asset retirement/replacement execution
  5. Final verification and disbursement

Use this sequence as your operating baseline and then confirm local variations.