The High Cost of Cutting Corners: Understanding the UK’s Penalties for Illegal Car Scrapping

The High Cost of Cutting Corners: Understanding the UK’s Penalties for Illegal Car Scrapping

It’s time for your car to be scrapped and you want it gone quickly, but you still want to pocket a good amount of cash. Selling your old vehicle as scrap metal is easy and profitable, but some scrap vehicle dealers might make you an offer that seems too good to be true – and probably is. They’ll pick it up in the next hour, they’ll pay you cash on the spot… Be aware of what might really be going on – No licences, no reporting of what they’re doing, untraceable payments and, the biggest issue of all right now, fly-tipping.

Fly-tipping of all kinds of waste is a rapidly growing issue across the country; in 2023-24, more than one-million incidents were reported by councils across the UK, with cleanup costs of over £100 million – all of that coming out of council’s budgets and funded by taxpayers. In fact, 70% of all councils in the entire nation have declared fly-tipping a “major problem.”

And how are councils combatting this growing negative trend? With massive fines and even a FIVE years prison sentence on the cards for the worst offenders! This is a crime, and it’s being taken seriously – to make sure you scrap your car legally, read on.


What To Avoid – Understanding How Cars Are Scrapped Illegally

Most people don’t scrap cars very often. Some may never do it even once throughout their entire life! So it’s understandable that some people could break the law when scrapping their vehicle without even knowing what they’ve done wrong. Let Scrap Car Comparison explain what shouldn’t happen when a vehicle is scrapped.

Failing to notify the DVLA that you’ve scrapped your car

When your car has been scrapped (or, in fact, when you’ve sold it for any reason at all) you must inform the DVLA that the ownership has changed hands. It’s crucial that you do this, because if you don’t you could face a fine of up to £1,000.

Furthermore, if you sell your car to a scrap dealer who’s not as trustworthy as they may seem, your car might actually remain on the road. If they’re driving it around, it’ll still be in your name, so any further penalties – everything from speeding fines to not paying tax – will be addressed to YOU!

We’ve got more information on this, including how to do it, here.

Accepting cash payment for your car

This one might come as a surprise to many unexpecting drivers. Selling your car as scrap and accepting a cash payment for it is actually illegal! In 2013, the government introduced the Scrap Metal Dealers Act which prevents cash transactions in the sale of scrap metal.

Why? It’s all about creating a digital paper trail. Before this law was introduced, it was incredibly easy for thieves to steal a car, race on down to their local scrap dealer, and sell it as scrap with no questions asked. They’d be paid in cash for the vehicle, and both car and thief would disappear without a trace. Now, all payments must be made by cheque or (more commonly these days) by bank transfer. This means there’s a digital receipt of the transaction.

For a more in-depth explanation of how cash payments work (or don’t), read our dedicated blog post here.

Selling to an unlicenced buyer who may fly-tip or abandon your car

This is a problem that’s becoming more of an issue in recent years. It’s always recommended that you scrap your car through an ATF – an Authorised Treatment Facility – so that you know it will be disposed of properly.

Failing to do so, and instead selling it to a cowboy scrap metal buyer, could have terrible consequences for yourself, but also play into a bigger problem that’s almost certainly affecting your local area and society on the whole. Fly-tipping is a massive problem in the UK and the law is attempting to crack down on it.

But we’re talking about cars… how is this relevant? Because a dodgy scrap man might decide certain parts of your vehicle (or in some cases, the whole thing) aren’t worth their time or expenses and simply dump them at the roadside. Bits and pieces like bumpers, trims, tyres – and in particular other non-metal parts.

And you may think that once the vehicle is gone it’s no longer your problem, whatever they do with it. You’d be wrong.

The scrap buyer will be punished – fly-tipping penalties have risen to tackle the increase, with the maximum fine jumping from £400 up to £1,000, and abandoning a vehicle can land the perpetrator with a fine of up to £2,500, a fixed Penalty Charge Notice (PCN), or even in the worst cases a 3-month prison sentence! If the buyer has used another vehicle (like a tow truck, for example) to transport your car to the dumping location, then they could also face having that vehicle impounded and crushed themselves!

But, if you don’t check the credentials of the buyer you’re selling your vehicle to, you also could face nasty punishments if they don’t dispose of it properly. You could be looking at an unlimited fine, a Fixed Penalty Notice of up to £1,000, or even FIVE years in prison! This is the same nationwide – Wiltshire Council has this to say:

“Everyone has a legal duty of care to ensure their household or business waste is disposed of correctly. You can be fined or taken to court if your waste is dumped illegally, even if someone else did it on your behalf.”

All of this is covered in the 1990 Environmental Protection Act.


Scrap Car Comparison Mascot If you’re concerned about breaking the law even when you’re not behind the wheel of your car, have a look at this info on all things legal.


Environmental consequences of fly-tipping/abandoning cars

We’ve explained how abandoning vehicles and fly-tipping bits and pieces of them (and other rubbish) can have a disastrous impact on both yours and your local council’s finances. But there’s also the environmental impact that this can have on your area. This can be caused by vehicles that are abandoned and by vehicles not disposed of properly, even at a scrap yard.

Any cars that are left lying around for months, or even years, on end and exposed to the elements will deteriorate quickly… especially with the amount of rain we get here in the UK. Rusty cars will be more likely to fall apart and when that happens, they become even more of an eyesore and a danger. The debris could become a hazard to other road users or even pedestrians, but it’s the fluids that are used in the vehicle that are more of a concern.

Unvetted scrap yards that cut corners and don’t store cars safely could end up polluting the ground around them, with some facilities suffering from oil leaks that contaminate the soil. These operators are fined thousands of pounds, but the environmental damage done can be long lasting and cost even more money and resources to put right.


Trying to scrap an abandoned car

It’s not unheard of here at Scrap Car Comparison for someone to try and scrap a vehicle that they deem to be abandoned. In fact, we get several calls a week about this! Unfortunately, we can’t get rid of those old cars without the proper permissions, and you probably shouldn’t try to either – not without contacting the police and council first.

It’s illegal to:

  • Remove, keep, or scrap a vehicle that you do not own or do not have permission to dispose of.
  • Sell parts from it.
  • Move it onto a public road without proper authority.

Doing any of those things could be considered theft, criminal damage, or unlawful disposal of waste… and we now all know how severe the punishments of that last one can be!

These same rules apply to a car that has been abandoned on your own private land. You will need to gain lawful possession of the car using the following steps:

  • Contact your local council (environmental health or waste management department).
  • If the council refuses to remove it (e.g., it’s not on public land), you can:
    • Notify the police (to ensure it’s not stolen).
    • Send a written Notice to Remove Vehicle to the last known keeper (after checking with DVLA).
    • If no one claims it after the notice period, you can arrange for an ATF to collect and scrap it.

REMEMBER: Keep records of everything that happened along the way; letters, emails, anything that could prove you had the correct permissions.


Data from whatdotheyknow.com


How To Scrap Your Car Legally & Avoid Penalties

There’s a very simple way of doing this. Scrap your car with an ATF! The Environmental Agency holds a database of ATFs that allows you to find those in your local area.

But if you want it to be even easier than that, simply get a quote from Scrap Car Comparison! We partner with Authorised Treatment Facilities to help you scrap your car with confidence.


ATFs – What They Are And What They Do For You

An Authorised Treatment Facility is, essentially, a scrap or salvage yard that operates to a very professional level and follows all of the legal requirements when disposing of vehicles. This includes recycling at least 95% of the vehicle’s total mass, and disposing of the hazardous fluids (oil, petrol, etc.) that could be harmful to environment. ATFs will also hold a proper licence as proof of all of the above.

When your car is scrapped with an ATF, you’ll also receive a Certificate of Destruction (CoD). This document is written proof that your car is no more. It is evidence that your vehicle has been destroyed and is no longer on the road. If you scrap your car illegally, you won’t get once of these. And if the dealer you’re selling to is reluctant to give you one, it suggests that they may not be planning to scrap your car after all.


The Laws In Play When Disposing Of An End-Of-Life Vehicle

There are three key laws that come into play when scrapping a car and disposing of it properly:

  • The Scrap Metal Dealers Act 2013 – This one changed the industry on the whole. It made it more difficult for people to sell scrap metal (including cars) but with good intentions. Vehicle theft was a real problem, and tracing cars that were stolen was proving difficult. Many were nicked, taken straight off to a scrap yard, then sold as scrap metal and crushed. The car is gone, but and so is the criminal – with a nice wad of cash in his back pocket and no way to be tracked down. This law meant that cash payments for scrap metal & cars was outlawed, so a digital trail was always present.
  • Environmental Protection Act 1990 – This is a very important bit of legislation that doesn’t just impact the way car disposal works, but actually affects waste management on the whole. In short, it means that the disposal and storage of all sorts of waste must be managed safely, with control maintained over pollution and public health & safety. It means that businesses – including ATFs – have a legal duty of care for the environment and the public.
  • End-of-Life Vehicles Regulations 2003 – This law refers specifically to car scrapping & salvaging. It establishes a responsibility for vehicles to be collected and disposed of safely and in an environmentally-friendly way, but also means that they must not be manufactured using harmful substances (like lead, for example) in the first place. But most relevant of all, the ELV Regulations means that a CoD must be provided by ATFs.

Wrapping Things Up – Follow Our Checklist

We’ve covered quite a lot here in this blog post, so it’s time to summarise. Here’s how you can ensure you scrap your car without falling foul of any rules or laws:

  • Use an ATF – Perhaps most important of all, make sure you scrap your car through an Authorised Treatment Facility. Doing so will ensure your vehicle is disposed of properly and won’t be abandoned somewhere. You’ll also get all the correct paperwork (like the Certificate of Destruction) and paid by bank transfer or cheque instead of cash.
    • Sell your car with peace of mind by getting a quote from Scrap Car Comparison.
  • Tell the DVLA – This is also something that is mandatory. Get your V5C log book filled in properly (the ATF will be able to help with this) and then inform the DVLA that your car has been scrapped. This way you’ll avoid any and all fines.
  • Get a Certificate of Destruction – Your CoD is an important but of paperwork that proves your car has bitten the dust. If your scrap buyer doesn’t automatically give you one, you are completely within your right to request one from them.
  • Document everything – Keeping a record of everything, whether that’s in physical paper form or digitally, is a great idea and can protect you from anything that might crop up along the way, like fines or other DVLA-issued penalties.

So all-in-all, the best way to scrap your vehicle to make sure it’s done legally is simple – scrap your car with Scrap Car Comparison. We partner with ATFs and will get you a price in seconds. Collection is included for free, and your vehicle will always be disposed of in the right way. Don’t take a chance on a cowboy scrap buyer… Sell your car with a business you can trust. Get a quote today.


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