Joachim Schmidt, executive vice president, sales and marketing, told Headlineauto: 'We really need a small MPV as this segment is performing well and we expect that to continue.'

No details of timings have been revealed by Mr Schmidt, who added that the new vehicle won't make an appearance at the Frankfurt Motor Show in September, where the company has a "surprise" planned.

Mr Schmidt also announced that the GLK, currently unavailable in the UK will eventually be launched in Britain. He added: 'I am very unhappy that we do not have the GLK in the UK, but there are cost implications in engineering vehicles for right-hand-drive. As more right-hand-drive markets open up, particularly India, we will overcome these restraints.'

He said that this may also open the possibility of four-wheel-drive C, E and S models coming to the UK.

He also revealed that Mercedes will start volume production of a fuel cell model, the next generation B-Class, in 2014, a year ahead of most other manufacturers' expectations.

'We have just completed the M-Class fuel cell world tour and we are on course to launch with the B-Class in 2014. The big issue is infrastructure but we are currently working with Linde to add 20 hydrogen fuel stations in Germany.

'It's still not perfect but it will be enough to get you from north to south and east to west in the country.'