Barbra Streisand is set to stage her British concert comeback in London with some of the most expensive tickets ever for a British show.

Fans will have to pay £100 for the cheapest seats when the singer plays the 02 Arena - formerly the Millennium Dome - in July with top tickets going for up to £500.

It was announced today that Streisand is coming to the capital this summer for the first time in 13 years.

Streisand, 65, is renowned for commanding high prices for her live performances and her latest tour is no exception.

Basic tickets will cost £ 100 with the more expensive tickets costing up to £500 each.

Last year tickets to see Madonna's Confessions tour were between £80 and £160. Top tickets to see the Rolling Stones at Twickenham this summer are £150.

But such is Streisand's huge appeal and the rarity of her appearances that the dates - which will see Streisand backed by a 58-piece orchestra - are guaranteed to be an immediate sellout.

The average cost for her recent American gigs was £145 a seat - with others going for as much as £400. The 20-date tour earned her £46 million and set box office records in 14 venues.

Tour promoters today confirmed she will play London's 02 on 18 July - and defended the high ticket prices.

A spokesman for the superstar said today: "Seeing Barbra Streisand in concert is a pretty momentous occasion that ranks up there with seeing Sinatra or Elvis. If you think that FA Cup final tickets are going for £1,600, you get some sort of context."

A chunk of proceeds from the tour will go to good causes through the Barbra Streisand Foundation. In the US, about £6 million was donated to charity.

She will also perform on the Continent for the first time in her 47-year career with shows in Vienna, Paris, Nice and Dublin this June and July. Further dates in mainland Europe are to be announced.

Streisand, star of Funny Girl and The Way We Were, is famed for her dislike of performing live, which she has said "terrifies" her. When she last appeared in Britain, in 1994, it marked the end of a 27-year gap from touring caused by stage fright.

Streisand appeared to have hung up her microphone for good in 2000 when she announced a "goodbye" tour of America.

But last year she confirmed plans to reverse her retirement, with a series of dates across America to raise funds for "pet causes" including the environment, education and women's health.

She said the experience has finally convinced her to come to Europe.

She said today: "It will be a joy to perform in so many wonderful countries for the first time. I can't wait to experience these different audiences and different cultures."

Streisand is the best-selling female artist ever, with 50 gold, 30 platinum and 13 multi-platinum albums and a clutch of awards including two Oscars, 10 Golden Globes and eight Grammys.

She is second only to Elvis in the all-time music charts - ahead of The Beatles and The Rolling Stones.

Tour promoter Michael Cohl said: "It is an incredible honour to bring Barbra Streisand, certainly the greatest female performer of all time, to Europe for her very first concert tour.

"It is an amazing show - a once in a lifetime experience not to be missed."

Streisand plays the Schloss Schonbrunn in Vienna on 21 June, the Bercy in Paris on 26 June, Nice's Nikaia Stadium on 19 July, Castletown House in Dublin on 14 July and finishing in London.

•Tickets go on sale this Friday. For details go to www.cpitour.com or www.barbrastreisand.com or call the 02 Ticketmaster box office on 0871 9840002.