A flying car named the Terrafugia Transition has been given clearance in the U.S and is estimated for release in just five-years time.

The Terrafugia reportedly works as a fully functioning two-seater car with a top speed of 65mph.

Attached to it are two retractable wings, each with a 28 ft and six inch span when fully unfolded. In the air the Terrafugia will reportedly be able to reach 115 mph speeds.

In the air the car-plane is estimated to consume five gallons of fuel per hour.

While the Terrafugia has received interest from the European market -- especially the Brits who labelling the car with an estimated £150,000 price tag -- the winged-wonder machine is yet to receive approval from the European Aviation Safety Agency.

The Civil Aviation Authority has already clarified that "pilots" will require both a driving and pilots licence to operate the Terrafugia.

Running in tandem with the Terrafugia's development, Europe has been developing its own personal aviation vehicle, investing £4.2 million in the myCopter.

Being developed by a slew of different teams, including one from the U.K.'s Liverpool University, the myCopter is a similar machine, designed to let its owner travel by both land and air.