Jaguar's stunning X-Type replacement breaks cover

The revival clearly continues apace at Jaguar - one of Britain's most historic and industrially important car manufacturers.

Far from resting on their laurels following the recent launch of the new flagship XJ, Jaguar has given the go-ahead to production of a stunning new BMW 3-series rival.

In an exclusive report, British car magazine Auto Express reveals this week that Jag bosses have confirmed that an X-Type replacement is already under development and due to appear in 2012.

According to the magazine's images, the all-new smallest car in the Jaguar range looks set to follow eye-catching design cues set down by the ground-breaking new XF and XJ models.

At the front end will be a subtly re-worked version of the company's new rectangular mesh grille and XF-style swept-back twin headlights.

At the back, trademark curved rear haunches will lead to the marque's new-style smooth rear, complemented by sleek rear lights.

The effect will create a significantly more modern, sporty and muscular stance than that of the existing X-Type.

But it's what will be under the skin that may spell the biggest trouble for BMW, as Jaguar appears to be targeting the German company's reputation for handling prowess.

The magazine reveals that Jaguar is working on an all-new aluminium rear-drive chassis for its new baby model, with the aim of making it the lightest and best handling car in its class.

Under the bonnet, the company may continue to offer a 3.0 litre V6 diesel engine to power the next X-Type. But with ever greater focus on cutting emissions, the mainstays of the engine range will be a pair of four-cylinder petrol and diesel units.

While the old X-Type had a strong band of followers - attracted by the Jaguar brand image and the car's competent, Mondeo-based handling - the model was never a sales success.

Yet for Jaguar to continue the fight back against its key German competitors it must make greater headway in the higher volume market for smaller executive cars.

If the production version comes anywhere close to the images revealed this week, this important new model for the British car industry will look fantastic and ensure the likes of BMW, Audi and Mercedes will soon have a real fight on their hands!

Jaguar reinvents XJ220 as stunning R8 beater

Exciting news for Jaguar fans this week, as Auto Express reveals that the company is planning to reinvent the legendary XJ220.

The magazine, well-known for its new car scoops, claims a dramatic new mid-engined sports car is being developed by Jaguar as a rival to the Audi R8.

While the concept is denied by Jaguar, the magazine claims that the car will make its debut at a major international motor show within the next 18 months - indicating that plans must already be well advanced.

In a nod to the marque's iconic E-Type, the two-seater is tipped to be badged the XE, heralding a return to a more raw, sporting side of Jaguar's heritage.

But this isn't the first Jaguar concept thought to be set for the XE badge. Last year it was speculated that it would adorn a Porsche Boxster rivalling baby coupe-convertible that would sit below the XK in the range.

Plans for an R8 rival would mark another big step in the company's revival of its dated model range.

XFR breaks record

The revelation comes as the sports version of Jaguar's new XF model has smashed the company's speed record.

In a graphic demonstration of the progress made in car design and engineering since the 1990s, an uprated four-door XFR saloon hit a top speed of 225.675 mph at the Bonneville Salt Flats, going even faster than the 217.1mph record set by the XJ220.

Rumours are that the minor developments to the showroom XFR that boosted the car to the record will debut on the road as a hotter XFR S model.

With a price that will undercut the BMW M5 by nearly £6,000, the flagship XFR is set to be a tough package to beat at the top of the executive saloon sector.

Looking ahead

Jaguar had a mixed year in 2008, launching the widely-praised new XF model and seeing UK sales rise by nine percent while many other luxury car brands faced a sales slump.

But this success was overshadowed by news towards the end of the year of extended shut downs at the company's Castle Bromwich plant and job losses.

The contrast between the company's sales success and the job losses has led some to suspect another agenda at work in the minds of new owners Tata.

Gloomy forecasts for sales during 2009 may be to blame, but some are wondering whether the company's British manufacturing operations and staff have been at greater risk than assurances given at the time the Indian company took over led us to believe.

With the company's current focus on developing its new XK and XF models, as well as launching an all-new luxury XJ saloon due in 2010, the XE is not likely to be seen in the showrooms before 2012.

Brit-built cars win top awards

The new Jaguar XF has won the coveted What Car magazine Car of the Year 2008 award, beating off stiff competition from rivals BMW and Mercedes.

What Car stipulate that the winner of the award "must have done more than anything else from the past 12 months to move things on".

Castle Bromwich-based Jaguar is a mere cottage industry alongside the mighty Audi, BMW and Mercedes-Benz. Yet its replacement for the retro styled S-Type was considered to have beaten the best the company's German rivals could offer.

This is even more of an achievement when set against the backdrop of uncertainty over Jaguar's future, with the sale of the company by owners Ford now imminent - most likely to Indian motor group Tata.

The magazine singled out in particular the way the XF out-drives the previously unbeatable BMW 5 Series, which is saying something, but also manages to be more supple on poor surfaces.

Accepting the award, Jaguar and Land Rover managing director Mike O'Driscoll said, 'This marks a very special day for Jaguar. We're back.'

Neither is What Car alone in praising the new Jag over its executive peers. In a three-way Auto Express group test against the Mercedes E280 CDI and BMW 525 M Sport, the 2.7 diesel version of the XF emerged triumphant.

Despite being the cheapest of the three, Auto Express described the car as "brilliant: superbly designed inside out, as well as fantastic to drive in all conditions and cost effective to buy and run. Jaguar should be immensely proud of its achievement."

"We're proud to say the XF is a British world-beater", the mag concluded.

But it's not just the Jaguar taking the honours. British-built stable-mate Land Rover won the top What Car award in the compact 4x4 category with its Freelander model, while the Discovery took the accolade for best large 4x4.

Al Kammerer, product development director Jaguar and Land Rover, pointed to strength in automotive manufacturing. 'The automotive industry in the West Midlands is alive and well,' he said.

In the hot hatch category, there was more success for British-built models with Oxford's MINI Cooper taking the title.