Drivers wanting to buy a Cowley-built Mini have been given a boost after parent firm BMW confirmed it would be taking part in the Government’s vehicle scrappage scheme.

The initiative, which will see drivers given £2,000 off the price of a new car provided they trade in a vehicle that is ten years old or more, is designed to boost car sales that have plummeted, according to latest figures.

The Government will provide half the money with the vehicle manufacturers making up the difference in the £600m scheme which will run until next March.

Mini spokesman Graham Biggs said: “We welcome anything that will bring people into the showrooms.

“This is short-term — we would like to see addituional measures to help industry, particularly by encouraging people to buy cars with low carbon dioxide emissions.”

Figures released today by the Society of Manufacturers and Traders show car production fell by 51 per cent to 61,829 in March and by more than 56 per cent to 183,010 for the first quarter of the year.