PEUGEOT'S i0n electric city car is based on the Mitsubishi i-MIEV and should give a range of 93 miles before it runs out of ‘fuel'.

That's doesn't sound like much, but when charging it up at home to do that distance costs just £2, it begins to make sense.

And of course, the majority of car journeys are much shorter.

The biggest drawback it faces is an eye-watering price tag of £33,000. With the government £5,000 subsidy for all electric vehicles, this comes down to £28,000 but that is still far too much for the majority of private buyers.

Realistically, Peugeot is aiming the i0n at businesses and will be leasing the car at around £400 a month excluding VAT.

Driving is like any small automatic and the performance and agility are great nipping in and out of traffic.

The brakes are powerful, helped by the electric motor as it regenerates power to the batteries but although motorway speeds are achievable, range is reduced.

The vast majority of buyers will be companies looking to lower their carbon footprint.

Space is decent because the drivetrain and batteries are all fitted under the floor but it will only seat four.

From the driver's seat it's pretty standard apart from the instruments, which as well as a digital speedometer show battery charge left, the power flow and the range left before you have to find an electric socket. The load bay is big enough for three or four shopping bags.

£33,000

63bhp, electric motor driving front wheels via an automatic gearbox

81mph

15.9 seconds.

46 miles per £1

N/A

0 g/km

0%

4 years/60,000 miles

7/10

Renault Fluence