Vauxhall has reduced the price of its Ampera extended-range electric vehicle by £3,500.

This brings the starting price down to £28,750, including a £5,000 Government grant.

The base Positiv model includes climate control and rear view camera as standard, while the £30,495 range-topping Electron model adds a Bose sound system with 30GB hard drive and satellite navigation.

“Ampera’s new price position brings the cost of electric motoring much nearer to that of a conventional vehicle,” said Duncan Aldred, Vauxhall’s Chairman and Managing Director.

The Vauxhall Ampera has a range of between 25 and 50 miles while running on electricity alone.  A 1.4-litre petrol engine fires up after this, and provides an additional 300 mile range on a tank of fuel.

Unlike conventional hybrid cars, the wheels are always driven by the electric motor, with the petrol engine functioning as a generator.