Same sort of deal here in the US. Shame as I'm sure it's not very eco-friendly extracting materials, processing, building and shipping a new car vs. just keeping a properly-maintained old one on the road, but I suspect these government schemes are more about stimulating the economy, and the 'green' aspect is really a convenient way of attracting interest...
(most folk seem to equate things to old vs. new, and new being better because it uses less energy or pollutes less - but few seem to think about the 'cost' in providing the new thing, or disposing of the thing being replaced, or disposing of the new thing when it breaks)
cheers
Jules