Car buyers in America have exhausted the $1bn cash allocation for the “cash for clunkers” scrappage programme just one week after the imitative was launched.
Car dealers across the country have been overrun as US buyer’s clamber to sign up for the scheme. In total 16,000 car dealers have signed up for the scheme which provides buyers with up to $4,500 off the price of a new “greener” car.
It is estimated that over 240,000 cars have been snapped up and the US Government now has to decide whether to suspend the scheme, or inject more cash.
White House spokesman Robert Gibbs said the administration was “evaluating all options” to keep the programme going.
“We are working tonight to assess the situation facing what is obviously an incredibly popular programme,” said Gibbs. “Auto dealers and consumers should have confidence that all valid CARS transactions that have taken place to date will be honoured.”