PEUGEOT is claiming to be Britain's fuel economy champion with the introduction of a new version of the 208 hatchback which is rated at more than 90 miles per gallon.

The new 208 1.6 BlueHDi diesel has emissions of 79g/km making it the most fuel-efficient non-hybrid model currently on sale in the UK.

The same 75 horsepower engine is also used in the larger Peugeot 308 hatchback and estate where it has CO2 figures of 82 and 85g/km.

With the introduction of the new engine all diesel versions of the 208 meet the latest Euro 6 emission standard and are exempt from road tax.

The low emission car is available in Active and Allure trim levels priced from £14,995 and has an official fuel return of 94.2mpg. Top speed is a claimed 106mph.

Last year a Peugeot 208 BlueHDi diesel won Britain's MPG Marathon covering almost 400 miles in real world conditions at an average of 104.5mpg.