A hybrid version of the Mercedes-Benz S-Class looks set to be revealed later this year.

A 3.5 litre V6 engine combined with an electric motor will produce 300 bhp, with a fuel economy of 35 miles per gallon. It will reach 60mph in 7.5 seconds and is expected to cost around  £70,000.Meanwhile a diesel version will be powered by a 2.2 litre four cylinder engine and Mercedes’ Bluetec technology. It is reported to be capable of returning 40 miles per gallon. The award winning Bluetec system significantly reduces the nitrogen oxide emissions of diesel engines and will allow the cars to comply with all upcoming European emissions standards. Lexus recently produced a hybrid model in the shape of the LS600h and the S-Class is intended to rival it in the luxury hybrid market. Both versions are expected to be unveiled at the Frankfurt Auto Show this September, eventually arriving as 2009 models.