diff --git a/hibernate-core/src/main/java/org/hibernate/dialect/H2Dialect.java b/hibernate-core/src/main/java/org/hibernate/dialect/H2Dialect.java
index 3e582f3a5d..ff5939a805 100644
--- a/hibernate-core/src/main/java/org/hibernate/dialect/H2Dialect.java
+++ b/hibernate-core/src/main/java/org/hibernate/dialect/H2Dialect.java
@@ -67,6 +67,7 @@ public class H2Dialect extends Dialect {
 	private final LimitHandler limitHandler;
 
 	private final boolean cascadeConstraints;
+	private final boolean useLocalTime;
 
 	private final int version;
 
@@ -101,6 +102,8 @@ public class H2Dialect extends Dialect {
 		supportsTuplesInSubqueries = version >= 104198;
 		// Prior to 1.4.200 the 'cascade' in 'drop table' was implicit
 		cascadeConstraints = version >= 104200;
+		// 1.4.200 introduced changes in current_time and current_timestamp
+		useLocalTime = version >= 140199;
 
 		getDefaultProperties().setProperty( AvailableSettings.STATEMENT_BATCH_SIZE, DEFAULT_BATCH_SIZE );
 		// http://code.google.com/p/h2database/issues/detail?id=235
@@ -191,6 +194,21 @@ public class H2Dialect extends Dialect {
 		CommonFunctionFactory.rownum( queryEngine );
 	}
 
+	@Override
+	public String currentTime() {
+		return useLocalTime ? "localtime" : super.currentTime();
+	}
+
+	@Override
+	public String currentTimestamp() {
+		return useLocalTime ? "localtimestamp" : super.currentTimestamp();
+	}
+
+	@Override
+	public String currentTimestampWithTimeZone() {
+		return "current_timestamp";
+	}
+
 	@Override
 	public SqlAstTranslatorFactory getSqlAstTranslatorFactory() {
 		return new StandardSqlAstTranslatorFactory() {