Jaguar XE R-Sport 25t new car review

Why we're driving it

Jaguar is at a crossroads with the XE, which will soon receive its first major update since the model was originally launched. 

What we like

The XE is Jaguar's first genuine competitor to the likes of BMW's 3-Series and the Lexus IS, aspirational yet affordable models that form an important slice of luxury car sales.

Part of that appeal is directly tied to the compact Jag's driving experience - it feels light, agile and composed in a variety of conditions, helped by a front suspension and steering setup shared with Jaguar's F-Type sports car.

The XE's classic front-engine, rear-wheel-drive layout lends its steering impressive clarity, contributing to the junior machine's impressive balance. 

Our test example features equipment that wasn't originally available in the XE, including Jaguar's widescreen InControl Touch Pro display that feels a world beyond the brand's original efforts.

Jaguar intends to offer the most sporting model in each luxury segment, a concept echoed by this particular XE's specification - black and blue interior leather with blue ambient lighting and a soft-touch steering wheel pinched from the F-Type.

This certainly isn't grandpa's Jag.  

What we don't like

The XE is quite sensitive to specifications. Get it wrong and the car feels a little too grown up, with beige and silver interior touches that feel more Camry than C-Class.

While the XE's infotainment system is much better than it used to be, it still doesn't feel quite as intuitive as those offered by the likes of Audi.

And we're not sure about the prices of some Jaguar options - $1820 for a seriously ordinary heads-up display system, $640 for heated seats and $850 for a powered boot lid in a compact sedan all seem a bit mean.

Jaguar's choice of engine doesn't help the car's appeal. The XE's Ford-sourced 177kW engine has plenty of poke but doesn't quite have the same pedigree as BMW or Mercedes' bespoke alternatives. But that's going to change soon. 

Would I buy one

I quite like the XE, which represents a pleasant change from the usual luxury crowd. But I wouldn't buy one until next year, when more powerful and efficient 'Ingenium' engines with up to 184kW of petrol power arrive.

While the 2018 XE offers essentially the same exterior looks as this car, Jaguar says it has a significantly improved interior with better quality materials, a 12.3-inch digital driver's display and Range Rover-style dual screen technology that allows the car to show different images to the driver and passenger on the same display.

It will also bring significant improvements to the XE's safety suite, with driver aids that aren't available on the current model.

I reckon that's worth waiting for.

Jaguar XE R-Sport 25t pricing and specifications

Price: From $68,900 plus on-road costs

Engine: 2.0-litre four-cylinder turbo petrol

Power: 177kW at 5800rpm

Torque: 340Nm at 1750rpm

Transmission: Eight-speed automatic, rear-wheel-drive

Fuel use: 7.5L/100km