RAC has predicted that UK bank holiday travellers will be opting for shorter trips this weekend, highlighting the recent travel chaos, erratic weather and spiralling fuel costs as the cause.

The car insurer and breakdown specialist has suggested that people will choose day trips over weekend jaunts, and has warned that the extensive traffic volumes will last until unusually late in the evening on Friday. It is also expected that Monday afternoon and early evening will see very high volumes, as well as Tuesday morning.

Popular destinations will include theme parks and beaches (providing the weather holds out), and shopping centres such as Bluewater and Lakeside will certainly be swamped with shoppers.

Motorists are advised to plan their route before setting off, and a contingency route would certainly be a good idea. Local radio stations and route planners are great tools that will help you experience an easier journey.

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Car insurance claims have increased by almost 75 per cent due to the icy conditions on road according to Swiftcover. Jim Osterberg’s favourite UK car insurance company has said that staff have dealt with an ‘unprecedented’ number of calls for claims, largely due to accidents caused by the weather.

The first working week of any New Year are typically when claims peak, as people are returning to work and school runs for the new terms resume. This has been exacerbated by slippery road conditions and reduced visibility caused by the snow.

Robin Reames, director of claims at Swiftcover was quoted on My Finances saying: “The severity of the snow this week caught everyone by surprise and resulted in lots of drivers having accidents and problems with their cars, which in turn meant a record number of people contacting Swiftcover.com for help or to make a claim.”

Asda Insurance is now offering comprehensive breakdown cover for cars and vans within the UK and Republic of Ireland. Cover starts from £73.92 per year, with the option of paying monthly instalment of £6.16.

Asda Breakdown Cover is provided in partnership with Britannia Rescue, which has received ‘Best Buy’ status in the consumer magazine Which? for the fourth time in five years. Asda uses a network of more than 3,000 trusted breakdown professionals to ensure a fast response time - averaging under 40 minutes. If the breakdown team cannot solve the problem at the roadside, they will transport the vehicle, driver and up to seven passengers to your chosen destination. Alternatively, a hire car may be provided.

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More than 60,000 cars have been sold under the government’s scrappage scheme, figures released today show.

Business Secretary Lord Mandelson said that the strong uptake of the scheme, which was launched just two months ago, showed that the initiative was a success. Consumers know a good deal when they see one. These figures speak for themselves,” he said.

However, the scheme’s popularity could mean that the £300 million of government money allocated to the scheme could be exhausted far sooner than the March 2010 deadline. Over a tenth of the funding had been used up by the end of May.

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Today sees the launch of the government’s “cash-for-bangers” car scrappage scheme, which allows owners of a car or van over 10 years old to receive £2,000 off the price of a brand new vehicle when they trade in their old one. It is hoped that the scheme will breathe new life into Britain’s ailing motor industry.

So far 38 manufacturers have signed up to the voluntary scheme, which is being jointly funded by the government and manufacturers. The scheme will last until the end of February 2010, or until the government’s £300 million in funding runs out.

Under the scheme, those who scrap their old car will receive £1000 from the government to put towards the cost of a new vehicle, as well as a similar discount from the manufacturer. Similar tactics have been tried in other European countries, including Germany, where sales of new cars have increased by 40% since the scrappage scheme was introduced.

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Business Secretary Peter Mandelson is to unveil a package of government support for the UK’s ailing car industry this afternoon.

Lord Mandelson will outline the measures in the House of Lords shortly after 3pm today, which are expected to include a scheme to guarantee loans for car manufacturers and provide funding to give extra training to workers.

Downing Street said the measures included long and short term support but were not a bail-out. The funding would be directed towards investment in low-carbon technologies, in line with EU rulings on state support for certain industries.

The car industry has experienced massive losses in recent months as sales have dropped due to the deepening recession. Earlier this month Jaguar Land Rover announced 450 job cuts, and several other car manufacturers have put their employees on three or four-day weeks to cut costs.

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The winter months are a particularly tough time for cars. As the days get shorter and colder, lights, heaters and windscreen wipers all put higher demands on the car’s battery; with more driving done in the dark, visibility is impaired; ice and snow can cause your car to skid off the road, and low temperatures can cause engines to freeze. Indeed, the AA reports that the number of breakdowns it has to deal with almost doubles whenever there’s a cold spell.

At this time of year it is therefore particularly important to make sure that you have adequate breakdown cover, which typically provides roadside assistance and alternative transport where needed. Some companies will also pay for or subsidise overnight accommodation near to your intended destination.

Aside from taking out adequate insurance, there are a number of steps you can take to minimize the risk of breaking down.

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Carpooling is a way of life for many people in the US, with parents running their kids to school, but also with work colleagues sharing lifts to and from the office, with everyone chipping in to help with petrol costs and the like.

Over here it’s a slightly different story; for many it seems, the old British adage of ‘my home is my castle’ seems to extend to the car, and the train seat – I can remember catching the train to college in the mornings and feeling loath to give up the adjacent seat to anybody except an expecting lady. Though I’m happy to budge up for anyone these days (provided that they aren’t drunk, morbidly obese, or have BO) I’ll still take a seat on my own if given the option.

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With summer just around the corner, chances are that if you are going abroad you’ve already got your flights/tickets/hotels and everything else sorted out. Passports… check. Pounds changed into euros, zloty, kroner, lira… check. 2-pin plug adaptor… check. Travel Insurance…?

Travel insurance is something that is more and more holidaymakers are considering each year, due to policies being relatively inexpensive, and often easy to obtain, especially in conjunction with European car cover plans.

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