More than 60,000 orders have been taken for vehicles through the scrappage scheme, according to new Government figures.
Business secretary Lord Mandelson said the scheme had given the carmaking industry the boost it needed.
Lord Mandelson said: "Consumers know a good deal when they see one. These figures speak for themselves."
The scheme will run until March 2010 and the Government has put in a pot of £300m for 300,000 cars to be sold through the scheme. Some manufacturers are worried the money could run out before the end of this year.