Speaking at the SMMT 2012 International Automotive Summit, held at Canary Wharf in London today, Ian Robertson, member of the board of management at BMW AG told delegates: ‘Our Hams Hall engine plant will make an important contribution to the future success of the new BMW i brand and the company's strategy for achieving sustainable mobility.

‘The new 3-cylinder petrol engines will enable our future BMW i8 plug-in hybrid sports car to set new standards for dynamic performance in combination with industry-leading fuel-efficiency and low carbon emission levels.’

Due for a 2013 market launch, the i8 uses a combination of a three-cylinder TwinPower Turbo petrol engine and electric drive to offer 349bhp and 221lb.ft and 62mph in under five seconds. But, by offering a 20-mile pure electric range, the plug-in hybrid drive also offers 78mpg efficiency and allows drivers to do most short journeys without using any fuel.

Business secretary Vince Cable said: 'BMW's decision to produce engines for their i8 plug-in hybrid sports car at Hams Hall is more good news for the UK automotive sector and underlines its growing competitive strength. It is yet another indication that international companies see the UK as one of the best places to develop and manufacture low emission vehicle technologies.’