The government-funded scrappage scheme will end in March with no possibility of another extension, it has been reported.

More than 355,000 orders for new cars and vans have been placed since the scheme began in April last year, according to the Press Association.

Cars registered before February 29th 2000 qualify for the scheme, with customers trading in their old car receiving at least £2,000 of a new vehicle.

Some £400 million has been invested in the scheme by the government, with £1,000 off the new vehicle coming from the government fund and the manufacturer matching that amount.

The government implemented the scheme as a way of providing a short-term boost to new car sales, which were struggling in the economic downturn.

A total of 37 motor firms are taking part in the scheme across the country and they will be allocated shares in the estimated 50,000 potential further sales, which have been calculated based on consumer demand.

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