Subaru has introduced a new Justy supermini to the UK market, available now for £8495.

As well as the low on-the-road price, the Justy produces just 118g/km of CO2, which puts it in band B for road tax, working out at only £35 per year. These low emissions also mean it would enjoy a free passage through the London congestion charge zone if the proposed emissions-based changes – where any vehicle emitting less than 121g/km of CO2 are exempt – are applied in 2008.

The Justy is a rebadged version of the Japanese-built Diahatsu Sirion and shares the same 69PS 1.0-litre engine as the Toyota Aygo, Citroen C1 and Peugeot 107, among others.

Subaru claims a top speed of 99mph and average 56.5mpg, and has given the car a five-year 60,000-mile warranty.

The Justy is the first Subaru model to be sold without a four-wheel drive offering. Even the previous generation Justy, a Suzuki Swift-based supermini sold in the UK until 2001, was all-wheel drive.