Princess Diana's Ford Escort sells for £52,640 after international bidding war

• Hear from autioneer Lewis Rabett

A Ford Escort given to Princess Diana by the Prince of Wales in 1981 as an engagement present has sold at auction in Colchester for £52,640 after an international bidding war on the phone.

The 1.6 Litre Ghia saloon still has its original number plate and interiors with 83,000 miles on the clock.

She often drove it to watch Charles play polo and it generated interest in the sale from around the world, with frantic online and telephone bidding

The hammer price was £47,000, increasing to £52,640, including VAT and the buyer's premium. The eighties classic hasn't been seen for twenty years as its owner had kept its Royal history a secret. 

The car was Diana's personal transport in the early years of her marriage. The car has a silver frog mascot on the bonnet, a copy of a gift from her sister. 

Reeman Dansie auctioneers in Colchester, say it sold to a telephone bidder and went over its estimated sale price of between £30,000 and £40,000.

It's understood the car has been sold to a museum in Chile.

The Princess stopped using the vehicle soon after giving birth to Prince William in 1982, and it was later bought for £6,000 by an antiques dealer.

It had belonged to a royal fan since around 2000, who drove it only sparingly without disclosing its history to her friends.

Diana, Princess of Wales, was hugely popular in Chile and in 2010 the Museo de la Moda in Santiago paid £192,000 for one of her first official gowns.