A new bike which is cheaper to run, tax and insure is being launched by Yamaha as the average cost of running a 125cc model has reached £1,540, with insurance the second biggest expense after fuel.There are now 1.2 million motorbike, moped and scooter owners in the country and Yamaha are promoting their latest model as “the alternative mode of transport”.

The Yamaha Vity claims to have all the same equipment as more expensive models, but the company is selling it at £1,699. This price includes the registration fee and excise duty.And with the bike being in the bottom scale for motorcycle insurance and road tax - and the current rise in fuel prices it is a cheaper option all round.

The frugal model has an electric start and an auto transmission, ten-inch wheels and a two-year warranty. It is available in Silver Tech, Midnight Black and Fancy Plum Meanwhile; This Is Money reported this week that bike insurance is the second greatest expenditure motorcyclists face after fuel costs.