HYUNDAI Car UK has told its Korean parent the price must be right for the new XG model for it to be guaranteed a market in the UK. As the new luxury saloon was given its UK premiere at the British International Motor Show, the UK arm revealed it was continuing discussions with the manufacturer to ensure the model was priced 'significantly below' £25,000 when it arrives in this country.

A spokesman for the firm said: 'We are having discussions concerning when and if the car comes to Britain, determined by what the price will be.' Once discussions over the price of the flagship have been completed, it is expected to arrive with a 180bhp 3.0-litre V6 and a 160bhp 2.5-litre V6 engine.

In the UK, the company has so far enjoyed a vintage year, which is why it is concerned to see the XG succeed through aggressive pricing. Total sales so far this year are 23,065, up from 21,359 at the end of September last year. Fleet business has grown from about 35% of sales to 38%, helped by the new Sonata and the Coupe's popularity among user-choosers.