PLANS to build another new Honda in Britain could be given approval by the end of next year. Officials of the Japanese company are considering adding a supermini to the line-up of cars produced at its European manufacturing base at Swindon, Wilts.

UK production of a Volkswagen Polo-sized B-segment model is understood to be regarded as a viable alternative to importing the Logo, a basic-specification front-drive car which has a one-litre engine and was developed for the Japanese market.

'We are considering extending the factory because we have the space and the infrastructure is already established. We should reach a decision in 12 months' time,' Honda Motor Europe president Kazue Ito said.