The Chevrolet Volt will cost from £28,545 when it reaches UK showrooms in early 2012. The announcement, made at today's Goodwood Festival of Speed, includes the £5000 government grant designed to stimulate sales in alternatively-fueled cars.

The Volt can be powered by electric power alone for up to 50 miles depending on driving conditions, and a small 1.4-litre four-cylinder petrol engine kicks in to power the car when its all-electric charge runs out.

Read Autocar's Chevrolet Volt first drive review

Chevrolet is celebrating its centenary at Goodwood this year and its UK boss Mark Terry said the timing of the Volt pricing announcement was significant as the firm "wanted to back up a century of progress with our vision for the next century".

Chevrolet has yet to confirm full spec of the Volt, but did say all UK right-hand drive models would come with a leather interior as standard.

The US firm also confirmed at Goodwood that the new Chevrolet Camaro Convertible would reach UK showrooms in early 2012, priced from £34,995. For this price, buyers get a 426bhp 6.2-litre V8 engine and suspension that has been fine-tuned for UK roads.