The invention relates to a system for battery cell balancing comprising a cell monitoring block (16) configured to monitor the voltage or a related quantity across individual cells (C.sub.1, C.sub.2, . . . C.sub.N) in a battery cell module; a microcontroller (18) configured for monitoring the positive terminal voltage (12) and the negative terminal voltage (13) of said battery cell module, and for monitoring (11) the output current I.sub.mod of said module, and monitored cell voltage of said individual cells (C.sub.1, C.sub.2, . . . C.sub.N), where the microcontroller (18) is configured to provide a control signal (20) based at least said positive terminal voltage (12), said negative terminal voltage (13), said output current I.sub.mod of said module, and said monitored cell voltage of said individual cells; and a hybrid module balancing block configured to provide either an active or a passive cell balancing or a combination of active and passive cell balancing of the cells (C.sub.1, C.sub.2, . . . C.sub.N) in the specific module under the control of the control signal provided by the microcontroller. The invention further relates to a method for battery cell balancing in a battery comprising one or more modules each comprising one or more cells.