The Nissan Leaf will now break the £30,000 barrier despite the subsidies following a price increase brought in to offset changes in the exchange rate.

The all-electric lower-medium car is now priced at £30,990 on the road, an increase from £28,990 when prices were announced In July 2010.

A Nissan spokesman said Sterling's value against the Yen had fallen by 14% since prices were first announced, and that the increase of less than 7% showed that Nissan would not be passing on the entire extra cost to customers.

The Leaf also qualifies for a £5,000 Government subsidy currently offered on electric vehicles, so the transaction price would be £26,990.

Nissan confirmed that when production of the Leaf and its batteries begins in the UK in 2013, with the majority of components sourced locally, it would be less vulnerable to exchange rate fluctuations.

The company also denied claims that an issue with a reversing alert had delayed the introduction of the car in the UK.

The Leaf is fitted with a reversing alert as a warning to pedestrians and other road users, but it was believed to breach noise regulations in the UK. But Nissan said the alert would be disabled by technicians at facilities where the car reaches the UK before the vehicles are delivered to dealers.