Revealed: Nissan Leaf price tag

Nissan's first mass-produced all-electric model will go on sale in Japan next month with a price tag of 3.76 million yen or £27,000.

The manufacturer hopes to sell around 6000 examples of the Nissan Leaf, which should qualify for a 770,000 yen government incentive – dropping the price to 2.99 million or £21,500. in the US, Nissan North America announced that the car would cost $25,280 after a $7,500 federal tax credit was taken into account.

That makes the five-door car significantly cheaper than the new Mitsubishi i-MiEV, which was lumbered with a £38,699 sticker price in the UK last week. Even with UK government subsidies, the smaller i-MiEV will still cost around £33,000.