New EU rules which force drivers to recycle scrap cars threatens a repeat of last year's fridge mountain, when thousands of unwanted appliances were dumped.

The Government's Better Regulation Task Force fears the worst as European rules for disposing of cars come into force over the summer.

Group members warn there could be a big increase in the number of cars being dumped, as owners try to avoid paying £100 to have their worn-out motors recycled.

The task force urged the Government to learn from past mistakes and give clear guidance on how to meet the new End-of-Life Vehicles (ELV) directive.

The EU wanted motor manufacturers to pay for vehicles but this will not happen until 2007 and the problem is likely to be aggravated by the Waste Electrical and Electronic Equipment (WEEE) directive, covering many household appliances, which comes into force in 12 months.

Janet Russell, in charge of the task force study, said: "The potential for things going wrong is even greater with these directives than it was for fridges.

"They cover many more products, from washing machines to electric toothbrushes, from microwaves to toasters, and of course, old cars.

"People still don't know exactly what they are meant to do, or when. Much of the infrastructure is not in place and the clock is ticking."

Councils fear the directive will lead to a rash of abandoned vehicles and they will be unable to afford to clear the expected mountain of dumped cars.

It costs £450 million to recycle the two million cars which are unwanted in the UK each year.

The Institute of European Environmental Policy has suggested increasing road tax by about £5 to meet the cost of recycling vehicles.

Malcolm Fergusson, senior fellow in transport studies, said used cars were a major source of waste, especially problem materials such as tyres, oil and brake fluid.

He said: "We don't for a minute doubt the value of the legislation.

"There should be an environmental benefit but the downside of doing this, in the short-term, is it is going to be the final owner of the car who has to pay for it.

"It is perfectly clear from the data it is going to be the poorest motorists who get it in the neck. It is an extra tax on the poorest but honest motorist."

The Society of Motor Manufacturers and Traders said it fully supported recycling old vehicles, as already happens in Germany, but needed more time to introduce a workable system.

It is in detailed talks with the Government aimed at meeting the 2007 deadline. A much tougher registration system, which forces owners to prove their old car has been recycled, is high on the motor industry's wish list.

The WEEE directive will cover anything with a plug or battery, from televisions and computers to electric toothbrushes.

Manufacturers will pay to strip lead from computer and TV screens, along with other items such as mercury switches, batteries and electrical capacitors before the shell is similarly recycled.

The Government was last year blamed when huge stockpiles of unwanted fridges and freezers built up across the UK after the introduction of those EU rules.

Regulations required CFC gases, blamed for damaging the ozone layer, to be removed before they were scrapped.

Councils were caught out after the Department for the Environment, Food and Rural Affairs failed to issue any guidance until a few weeks before they came into force.

East Sussex County Council, for example, set up an emergency depot at Southerham, near Lewes, to handle the waste fridges.

The Department of Trade and Industry has pledged to give councils enough money to clear away the expected rash of dumped cars.

Councillor Peter Jones, leader of East Sussex County Council, hopes the introduction of the new directives will not lead to the same scenes of dumped goods as last year.

He said: "When these things come out of the blue it is very difficult for local authorities to cope.

"With the fridges we were able to set up a facility, which I think was the first to become operational in Britain, but that was good fortune more than anything.

"We need proper notice and sensible planning with these things and would look for more support from central government."

Tuesday July 29, 2003