In return for creating up to 500 jobs, the company wants a pledge from the Prime Minister that he will order public charging points for electric cars to be installed on thousands of British streets.

Under the proposals, workers at GM's plant in Ellesmere Port, Cheshire, would build enough hybrid Vauxhall Flextremes to supply the whole of Europe.

Between 20,000 and 30,000 of the cars would be produced by around 2012, and this would rise to 220,000 by 2015. Some 40,000 a year would be sold in the UK.

An insider at Vauxhall, which is owned by GM, said: 'Britain could become the electric car capital of Europe.'

The manufacturer hopes to make one in ten of the cars it sells in Europe an electric version.

The Flextreme is known as a plug-in hybrid because it can be connected to a mains power supply.

The batteries cost £5,000  -  in a car that will sell for around £20,000.

GM wants its efforts to go green to be recognised by the European Union.

It has asked the Government to champion giving car makers extra 'credit' towards meeting tough CO2 emissions targets if they produce hybrid cars.

Mr Brown yesterday inspected the Flextreme on a visit to the British International Motor Show in East London.

He told car makers that he wants them to build more electric cars to cut pollution.

He had a 40-minute meeting with Carl-Peter Forster, president of General Motors Europe, where the Flextreme was discussed. Mr Forster said: 'The UK could take a leading role in the future of this car.

'We could have a fruitful discussion with the British Government about building it in the UK.

'It has a lot of parts in common with a car being built at the Ellesmere Port factory... the Astra.'

Whitehall officials later said GM's plan 'was of interest' and 'struck a chord' with Government thinking.

Mr Forster added that ministers need to 'kick-start' the electric car market by putting in the infrastructure for drivers to charge their cars in their streets.

He said: 'People will charge their electric cars like they charge their mobile phones.'

A Downing Street spokesman said: 'The Government is committed to working with industry to make advanced low-carbon and electric cars widely available.

'The Prime Minister held a very constructive meeting today with key manufacturers, large energy providers, research engineers and vehicle designers to hear their views.

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