The G-Wiz electric car will now cost from £7644.
The £655 reduction takes effect immediately and has been made possible by increased production levels, which has allowed the manufacturers to buy parts for less.
The price includes VAT and a compulsory £345 on-the-road package, which includes the car's first service, delivery within the M25 and carbon offsetting, as well as the standard registration documentation.
More than 900 Londoners now own the original car, which is congestion charge exempt, benefits from category one insurance rates and is eligible for free parking in some parts of Westminster.
The latest edition of the G-Wiz is called the ac drive. It has a range of 48 miles, up from 40 miles, and a top speed of 45mph, up from 40mph. Acceleration has also been increased 40% over the previous G-Wiz dc drive model.
It will be compatible with lithium-ion batteries that are being launched in early 2008, which improve range, cold weather performance and take less time to charge.
The original G-Wiz dc drive has now been discontinued.
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