Local Breaker's Yard with a Parts Counter

Dismantle end-of-life cars on a small site and sell used parts and scrap metal to garages and the public.

Startup cost£25k to £120k
Monthly revenue£6k to £30k
Time needed40+ h/week
First incomeMonths
  • £25k-120k
  • Full-time
  • Own premises
  • Licence or permit needed

Estimates for a small start in the UK, not guarantees.

Official data

221 UK companies in this field, 31% registered in the last 2 years

SIC 38310 “Dismantling of wrecks”. Source: Companies House, November 2026.

What it is

A small yard where you buy or take in end-of-life vehicles, drain fluids and remove hazardous parts safely, then sell reusable parts and send the remaining metal for scrap.

Your first three steps

  1. Speak to the Environment Agency (or SEPA, Natural Resources Wales or NIEA) about the permit needed to run an authorised treatment facility
  2. Find a suitable site and check planning use with your local council before signing a lease
  3. Price up depollution equipment, a forklift or engine crane and insurance, then test the market by visiting local garages about parts demand
Who pays

Local garages, mechanics, DIY motorists and scrap metal merchants buying the remaining shells.

How it makes money

Selling used parts at a fraction of new prices, plus scrap metal sales once a car is stripped. Margins depend on what you pay for each vehicle and how quickly parts sell.

Skills that help
  • Mechanical knowledge of cars
  • Spotting which parts sell fast
  • Safe handling of fluids, batteries and heavy parts
  • Record keeping and pricing
Watch out for
  • Dismantling end-of-life vehicles generally needs an environmental permit or authorised treatment facility status, check the exact requirements for your nation
  • Scrap metal dealer licence from your local council (check if it applies in your area)
  • Waste carrier registration if you collect vehicles or waste
  • Planning permission and site rules for storage, drainage and surfacing
  • Public liability and employer's liability insurance, plus insurance for stock and equipment
  • Fire, pollution and manual handling risks, and rules for storing and disposing of fluids, tyres and batteries
  • Keeping records and issuing certificates of destruction as required

🔒 Full research report for UK

Real cost breakdown with current prices, licences and registration checklist, local competition, pricing, break-even and a 30-day launch plan, with sources.

Coming soon

Questions people ask

How much does it cost to start a breaker's yard?

Startup costs are typically around £25,000 to £120,000, depending on the site, equipment and the stock of vehicles you buy. Insurance and meeting site requirements for storage and drainage can also affect the total.

How much can a breaker's yard make?

Monthly revenue is typically around £6,000 to £30,000, depending on the vehicles you take in, which parts sell fast and scrap prices. These are estimates of sales, not profit, and a yard usually needs around 40 hours a week.

What licences and permits should I check for a breaker's yard?

Check the exact requirements in your nation for an environmental permit or authorised treatment facility status. Also check whether you need a scrap metal dealer licence from your council, waste carrier registration, planning permission and the right insurance.

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