Prime Minister Boris Johnson (right) and JCB chairman Lord Bamford at the company announcement

JCB is to invest £100 million ($138.3 million, €118.5 million) to produce hydrogen engines.

The company has targeted Q4 2022 as the launch date for the first customer machines.

JCB unveiled a prototype hydrogen-powered backhoe and also a telescopic handler at an event attended by British Prime Minister Boris Johnson.

The hydrogen technology will also be on show at the COP26 meeting in Glasgow, where world leaders will gather to debate measures intended to reduce greenhouse gases.

The prime minister said: “Great British manufacturers like JCB are developing innovative solutions to slash greenhouse emissions and advance the UK’s green industrial revolution.”

Lord Bamford, JCB chairman, added: “We are investing in hydrogen as we don’t see electric being the all-round solution, particularly not for our industry because it can only be used to power smaller machines.

“It does mean we will carry on making engines, but they will be super-efficient, affordable, high-tech hydrogen motors with zero CO2 emissions, which can be brought to market quickly using out existing supply base.”

JCB is expecting to celebrate production of its 750,000th engine this year.