Ford has cut new-car list prices for its Ka, Fiesta, Focus and Kuga. The reductions average 11% and take effect from August 2. They come hard on the heels of reductions made in the cost of its Mondeo and other large cars earlier in the year.

The move means that the cheapest new Ford on sale, the Ka Studio (pictured), sits at £7995 (down from £9360) while the entry-model Fiesta is £9995 (previously £11,645). Focuses will now start at £15,545 (£18,345) and the Ford Kuga is priced from £22,945 (£23,795).

The move will be welcomed by company car drivers awaiting delivery of a new Ford because, as with all such vehicles, the tax liability payable is based on the car’s list price.

Ford has a long-held reputation for offering good value but this took a dent last year as the company brought in a succession of price rises which in some cases made their cars thousands of pounds more expensive than their competitors’.

It also quickly became apparent that, depending on the model you wanted, discounts of several thousand pounds were on tap. Ford made these official when, earlier this year, it advertised savings of up to 15%.

Ford says it is reducing dealer discounts, so restricting the amount by which they can further cut the new prices. The intention is to move towards a place where what you see is what you’ll pay.

Ford of Britain managing director Nigel Sharp admitted that high list prices teamed with big discounts left buyers confused. He said Ford and its dealers wanted to make buying ‘more transparent’ and the value ‘more obvious’.