Jaguar has confirmed its worst-kept secret - it will add a new compact SUV to the range.

The British brand has revealed the first images of the E-Pace, that will sit beneath the mid-size F-Pace in an expanded SUV range. Jaguar will also launch the all-new I-Pace electric SUV in 2018 as part of its rapid expansion into the SUV market.

Technical details are limited but Jaguar has confirmed it will be powered exclusively by its Ingenium range of petrol and diesel engines. That should mean it will boast the new 2.0-litre four-cylinder petrol just announced for the Land Rover Discovery Sport and Range Rover Evoque. It is available in two states of tune, 177kW/340Nm and 213kW/400Nm, which should suit the sporty character of the E-Pace.

"The combination of sports car looks with Jaguar performance will ensure that the E-Pace stands out," said Ian Callum, director of design for the brand. "Every Jaguar is designed to excite the senses, and we think the E-Pace will do just that, albeit with its own individual character."

Jaguar Australia has confirmed that the E-Pace will be priced from less than $50,000 before on-road costs when it arrives in Australia. That will make it the most affordable model in the Jaguar range, under-cutting the XE sedan which is priced from $60,400. The F-Pace range currently starts at $75,860 for the 20d Prestige model.

The full reveal of the E-Pace is scheduled for July 13.

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