7 MARCH 1952, Page 3

New Cars for Old

It was high time for the introduction of fresh restrictions on the sale of new-cars, for no one doubted that abuses were too common. A man might place orders with half-a-dozen dealers and, assuming that he had enough money to start with and luck during the execution of his scheme, emerge from the deals with a free car and a large tax-free profit. There was nothing to prevent would-be buyers with friends in the right places from going rapidly to the top of the lists. The loop- holes were many, and in fact, although the covenant put a stop to the more blatant abuses, the distribution system resembled nothing so much as the schoolboy's definition of a net as a lot of holes tied together with string. All this was infuriating to the honest man, in genuine need of a car, who had been for years on a dealer's list; and although with the new restrictions he may be little nearer to getting a car, he will at least hope to have the satisfaction of knowing that the dis- honest may be a little farther away. The new regulations require that, in addition to the covenant of agreement with the British Motor Traders' Association not to sell a new car within two years of the purchase, the buyer should sign a declaration stating his needs fully, saying whether or not he has had a post-war car already, and giving adequate reasons if he wishes to exchange the car he has for a new one. He will be able to buy a new car only if his existing one is beyond reasonable economic repair. If he breaks the agreement the Association will take civil action against him, and if a dealer is privy to a buyer's falsification of the declaration, disciplinary action may be taken against him. The trade has said that there is an essential domestic need of 160,000 cars a year. There are to be only 60,000 for the home market this year. It is up to the trade to see that they are shared out fairly. If the new regula- tions do not bring about an improvement, then the Govern- ment will hardly be able to leave the matter to a contract between trade and customer,