The first models will hit the streets later this year.

Jaguar Land Rover is the UK's biggest car maker and knocks out expensive Range Rovers, 4x4s and sportier luxury motors. The initial models will be driven on a new 41-mile (66 km) test route on motorways and urban roads near its headquarters and plants in central England.

Britain announced plans in March to test cars on motorways and launched a consultation on Monday to change insurance and motoring rules as it pursues plans to allow the public to use driverless cars on the streets by 2020.

Jaguar Land Rover's Head of Research Tony Harper said the firm's technology, which includes a three-dimensional advanced view of the street ahead to recognise barriers and radio signal communication between cars, could reduce hazards.

"Our connected and automated technology could help improve traffic flow, cut congestion and reduce the potential for accidents," Harper said.

Traditional automakers face competition from rivals such as Tesla and technology firms such as Alphabet Inc unit Google, which wants eventually to be able to deploy fully autonomous vehicles without human controls. At the moment driverless car testing will need a person to be present and able to take control should the need arise, the UK Department for Transport has said.