On 30th July 2015 the Department of Transport confirmed the following to MVDA.
The new Government has now confirmed it will proceed with abolition of the VIC scheme in October 2015.
The intention is to fully abolish VICs with effect from 26th October and to start a transitional regime on 1st October where only some of the relevant vehicles will be checked.
As part of the changes Government will prevent the re-registration of salvage vehicles identified as ‘unrepairable’ (salvage categories A and B).
In respect of the proposed new Salvage Code, Government does not intend to proceed with a full public consultation. This does not reflect a lack of support within Government, but rather the Government’s strategic principles to avoid additional regulation wherever possible and seek industry-based solutions instead.
In principle, DfT is prepared to endorse the proposed new Salvage Code, in a similar way to how it endorsed the existing code; the Department will also participate in the governance of any new code, if industry wants it to.