Government has quashed reports that it is planning to eliminate Bermuda’s second-hand car market by forcing owners to scrap their old vehicle before buying a new one.

The Ministry of Tourism and Transport issued a statement which said it wanted to “quell erroneous and speculative reports circulating throughout the media in recent days regarding the sale of second hand vehicles”.

The statement added: “The Transport Control Department (TCD) said today that such reports are not only premature but inaccurate.

“TCD further advised that while an announcement is forthcoming regarding transport reform, the measures proposed will be implemented within a sufficient timeframe so that those affected will have a suitable amount of time to prepare.”

Premier Ewart Brown, who is also the Transport Minister, said in 2004 that the thriving second-hand car market was a problem.

“The proliferation of vehicles is made worse when you have the option of getting rid of your car early,” he said.

“So the second hand car market sort of makes a vehicle available for sale which wouldn’t be available if the owner had to hold on to it.”

Up until the mid 1990s drivers who sold their used car had to agree they wouldn’t purchase a new one for 12 months.