Honda’s new Insight hybrid will be priced from £15,490, £2,380 less than its closest rival, the Toyota Prius.
The Insight SE has carbon dioxide emissions of 101g/km and a combined economy of 64.2mpg.
Standard equipment includes 15-inch alloy wheels, climate control air conditioning, electric folding door mirrors, front and rear electric windows, steering wheel audio controls and vehicle stability assist as standard.
The ES trim grade is expected to be the best seller. Priced from £16,790, it includes 16-inch alloy wheels, auto lights and wipers, cruise control, front fog lights, heated front seats, leather steering wheel and gear knob, paddle shift, privacy glass and USB port for MP3 players.
Hands Free Telephone and DVD Satellite Navigation come as standard on the £18,390 ES-T model; a high specification car that Honda is expecting to be the best selling model for fleets.