A Volkswagen Group spokesman said: "We’re at an early stage at the moment but each of the Volkswagen Group UK brands will be considering the benefits of such a scheme in the UK."
Drivers are be able to claim €2000-€10,000 (between £1800 and £9000) off the price of a new Volkswagen, depending on the model. The €2000 incentive is offered for the Up, while the maximum €10,000 is exclusively for the Touareg. Trade-ins from all brands are accepted, and are not limited to VW Group brands alone.
The announcement follows a meeting between German government officials and the country’s car industry. It is reported that BMW, Daimler and Opel were also involved in the talks, although there is no announcement of similar schemes from Daimler or Opel.
In addition, environmental incentives of €1000, €1785 and €2380 are being offered for natural gas, hybrid and electric powertrains respectively, meaning a Volkswagen Passat GTE can combine these discounts to €9785, while the e-Golf can be purchased with a €7380 discount.
Audi has launched a parallel scheme in Germany, offering discounts of €3000-€10,000 on its models, depending on their position in the Audi line-up. In exchange for the discount, the traded-in car will be scrapped, accelerating the switchover to more efficient cars, claims Audi.
The incentives are available only until 31 December, with similar schemes in the pipeline for VW’s commercial vehicles arm, as well as Porsche, Seat and Skoda. BMW today extended its equivalent scheme to the UK, so it's likely that the Volkswagen Group will follow suit.