BMW has started production of its second generation Mini at its Cowley factory in Oxford and Chancellor Gordon Brown was there sing its praises.

He said the ongoing success of the Mini was an example of how Britain ‘can compete and succeed in the global economy’.

Production of the first Mini started in Cowley in 2001, steadily raising output, due to popular demand for the model, to 200,000 cars last year. BMW’s decision to make the new Mini in the UK has added 200 jobs to the Cowley plant and will push production by a further 40,000 cars a year. BMW is also producing the petrol engines for the Mini in the UK at a plant in Warwickshire, after they were previously made in Brazil.