The Duke and Duchess of Cambridge have called their new baby daughter Charlotte Elizabeth Diana, Kensington Palace has announced.

The Princess, who was born on Saturday May 2 at 8.34am, weighing 8lbs 3oz, will be known as Princess Charlotte.

Kensington Palace said in a short statement: "The Duke and Duchess of Cambridge are delighted to announce that they have named their daughter Charlotte Elizabeth Diana.

"The baby will be known as Her Royal Highness Princess Charlotte of Cambridge."

Charlotte is likely to be a tribute to William's father the Prince of Wales as it is the feminine form of the name Charles.

And the middle names of the princess obviously recognise her great grandmother the Queen - Elizabeth II - and her grandmother Diana, Princess of Wales.

The name Charlotte had been a favourite with the bookies during the week but in the last few days had been pushed into second place by Alice.

But betting firms have said they would face a huge payout if any of the heavily backed top five names were chosen by the Cambridges.

Meanwhile the birth of the Duke and Duchess of Cambridge's baby princess has been marked by royal gun salutes.

William and Kate's daughter was celebrated by the military tribute that rang out across London.

Royal gun salutes were fired simultaneously at Hyde Park and the Tower of London at 2pm.

As Big Ben began to chime the hour of two, 41 volleys rang out across the park fired by the King's Troop Royal Horse Artillery.

At the Tower there was a 62-gun salute fired by the Honourable Artillery Company (HAC), with an extra 21 volleys for the City of London.

Just before the King's Troop began the Royal Artillery Band played the Stevie Wonder hit Isn't She Lovely, a song he wrote to celebrates the birth of his daughter, Aisha.

The bells of Westminster Abbey also rang out at exactly 2pm to mark the royal birth.