Gradle version 1.8 is required. Current version is 1.6

I had same problem. Try to remove directory 'gradle' in project directory and then rebuild project. It helped me.

The Android Studio ask you for download and install the Gradle version 1.8 for you.

Also the Android Gradle plugin version 0.6.2 has an issue and not works properly.
As said on the official page use the version 0.6.3:

dependencies {
    classpath 'com.android.tools.build:gradle:0.6.3'
}

More info: http://tools.android.com/knownissues

I am not sure if this will help you but here is what fixed it for me:

Open up this file in your project:

<Project>/gradle/wrapper/gradle-wrapper.properties

Edit the distributionUrl line and set it too:

distributionUrl=https\://services.gradle.org/distributions/gradle-1.8-all.zip

Rebuild your project.

Update: You might want to use gradle-2.8-all.zip now.

You should use the following in your build.gradle:

buildscript {
  repositories {
      mavenCentral()
  }
  dependencies {
      classpath 'com.android.tools.build:gradle:0.7.+'
  }
}

Edit: Nowadays 0.9.+ is the most up-to-date gradle plugin.

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