Lotus Engineering, the engineering arm of Group Lotus, and Siemens VDO Automotive have joined forces to develop low emissions technology for a new model.

The two companies will research and develop systems to build a three-cylinder engine with low carbon dioxide emissions and hybrid capabilities.

Mike Kimberley, CEO of Group Lotus, said: "We are currently researching how to increase engine efficiency, as well as power and performance with both alternative and conventional fuels whilst simultaneously reducing net emissions.

“In the long term, the automotive industry needs to pull together to find ways to decrease carbon dioxide emissions and reduce our dependence on fossil fuels. I believe that this research co-operation will go some way in finding a solution to these issues."