Key facts:
Model tested: Peugeot Ion
Price: £415 per month (lease only)
Date tested: September 2010
Road tester: Stuart Milne

Identical to the Mitsubishi I-MIEV, the Ion isn't just a Mitsubishi with a Peugeot badge, as both manufacturers worked on it.

Unlike the I-MIEV, the Ion isn't available to buy outright; Peugeot has opted to lease it on four-year contracts.

That's important, as research suggests motorists are put off electric cars because of the cost of replacing the batteries at the end of their life.

Peugeot will offer the Ion for £415 a month over a four-year term, which includes the lease of the car, a full warranty and full servicing and maintenance for up to 40,000 miles.

The same research concludes motorists are concerned about getting stranded with a flat battery on long journeys, but Peugeot has that covered too. It will offer buyers access to its MU scheme, which offers the option of hiring conventionally-engined cars.

The car itself is a revelation to those who consider electric cars to be like big golf buggies. There's space for four, and electric windows, air-conditioning, central locking and a comprehensive level of safety equipment is offered.

On the road, the softly-sprung Ion is comfortable over bumps, and offers a surprising turn of speed; 20-40mph takes just 3.5 seconds, which is faster than a 207 hot hatch. This figure is more telling than its leisurely 16-second 0-62mph time, while top speed is a more-than-adequate 81mph.

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But driving the Ion like this will have a huge impact on the distance the car can travel. With its lithium-ion battery pack, and some clever systems which can add additional charge to the battery under braking, Peugeot says the Ion has a range of 93 miles in ideal conditions.

Driving the car hard, or using the air-conditioning can reduce this range by almost half, but Peugeot says this shouldn't be a problem for most drivers, who have typical daily journeys of less than 35 miles.

The Ion can be fully charged from a household socket - which will be checked for suitability by Peugeot - in around six hours, but hooking it up to a public charging station allows a 20 per cent charge in five minutes or an 80 per cent charge in half an hour.

Peugeot says 120 miles of driving will cost around £2.50, but this can be reduced by charging during off-peak hours. It can also offer a potential £1,514 saving on fuel costs over 10,000 miles, a similar amount in London Congestion Charge payments each year and more than £2,500 in parking fees annually.

By looking at the Ion purely in terms of its monthly purchase price, the Ion is expensive, but it is competitive with its brother, the Mitsubishi I, which costs a considerable £28,990. Unlike the i, the Ion offers worry-free motoring with its full service package.

For those who consider electric cars to be slow and poorly built, the Ion is a breath of fresh air.