Jaguar XE review: new petrol engine leads latest round of updates

The XE marks the return of Jaguar to the small prestige saloon class, where it is a rival for the BMW 3-series, Mercedes C-class and Audi A4.

The last time Jaguar had a crack at the big German three, its X-type failed to impress, largely because it was little more than a re-bodied Ford Mondeo. The Coventry-based car-maker is taking no such chances this time; the XE is an all-new model, powered by a new range of 2.0-litre petrol and diesel engines as well as a proven 3.0-litre V6.

Space 6/10

Not a match for the best in this class

The boot of a Jaguar XE 

The XE’s three main rivals all have slightly bigger boots, although the Jaguar's wide opening and low load lip are welcome. It costs extra to specify split-folding rear seats, the mechanisms for which looks and feels more like an afterthought than something that should be appearing on a £30,000 car.

The rear seats themselves are also tight on space, not to mention accessed via narrow door openings. Once in, anybody taller than 6ft will find their head brushing the roof, and while knee room is sufficient, there's not a huge amount of space for your feet. Middle seat passengers are squashed in further still, and made to straddle a particularly wide lump in the floor.

No such complaints for those in the front of the XE, where there’s plenty of elbow room and several useful storage compartments.

Comfort 8/10

Jaguar has got the balance just about right

Jaguar XE in a street

Provided you go for wheels that are no larger than 18 inches in diameter, the Jaguar XE soaks up the worst of British roads in a thoroughly competent manner. Choose a larger wheel size and we’d recommend also specifying the optional Adaptive Dynamics suspension to help soften the ride.

We’ve so far tried Jaguar’s 2.0-litre petrol engine in its high output guise. It’s not the most aurally satisfying of units, being louder at idle than Audi’s 2.0-litre petrol engine, and sounding strained above 5,000rpm. The 2.0-litre diesel is also fairly noisy, particularly at idle and when accelerating from low speeds, although the flagship twin-turbo version is much smoother.

The XE begins to shine once up to speed, where engine noise fades away, there’s barely any wind noise and even the tyres produce nothing more than a quiet hum. Throw in a great driving position, and the result is a very comfortable car for long journeys.

Dashboard layout 8/10

Looks good, feels solid and works well

Front seats of a Jaguar XE 

For the most part, the XE’s dash is on a par with those of its German rivals, albeit sacrificing the last five per cent of perceived build quality for a welcome touch of flair. Witness the automatic gearbox controller that rises dramatically from between the front seats.

The location of the heater controls in their own panel rather than within the touchscreen system is a good move as far as ease of use is concerned. However, we wouldn’t bother specifying Jaguar’s optional TFT upgrade in place of the conventional dials, because it is nowhere near as slick as Audi’s Virtual Cockpit.

The main touchscreen in the centre of the dash is at least intuitive to use, and all models get a decent satnav system as standard.

Easy to drive 7/10

Rear visibility could be better

Driver behind the wheel of a Jaguar XE

As Jaguar’s smallest car, the XE should be easy to place on the road, and for the most part that’s true enough. However, the swollen body panels that look so good on the outside also make the car slightly wider than it feels from the inside. Rear visibility is restricted by a small, high-mounted window that distorts the shape of any following vehicles.

Those niggles aside, the XE is as easy to drive as any other models in this class, with a lovely, consistent weight to its controls and a smooth response from its engines.

The six-speed manual gearbox isn’t the slickest, so consider upgrading to the eight-speed automatic, which generally shifts smoothly, even if it can be a little eager to change down. 

Fun to drive 10/10

Sure to put a smile on your face

Jaguar XE on the road

Put simply, there is no other car in its class that handles as well as the XE – and that’s quite some statement when you consider the standards set by German rivals.

The rear-wheel-drive Jaguar’s steering is quick to respond and has just the right amount of resistance when you turn the wheel. Its chassis is also beautifully balanced, and not deflected by mid-corner bumps.

Jaguar also offers an all-wheel drive upgrade which does nothing to upset the car’s poise, but simply adds a bit more practicality for the winter months.

An XE powered by the flagship supercharged V6 petrol engine is a serious performance car, and the 2.0-litre turbo petrol model is by no means a slouch. Only the lower-powered diesel might fail to quench your thirst for power.

Reliability 7/10

Warranty stacks up

Jaguar achieved a fairly average position in the 2016 JD Power Vehicle Dependability Study, coming 16th out of 24 manufacturers, although it should be noted that it performed better than any of its upmarket rivals.

The three-year, unlimited mileage warranty is, however, as good as you’ll find anywhere in this class. 

Fuel economy 9/10

Diesel models are up there with the best

Jaguar XE review

The Jaguar XE diesel is among the most fuel efficient models in its class, the 161bhp version returning 74mpg on the EU Combined cycle, while the 177bhp model manages 67mpg, and the 237bhp 54.4mpg. In real-world testing we averaged between 45-55mpg from these engines, placing the XE in line with the best opposition.

Jaguar’s 2.0-litre petrol engine returned up to 45.1mpg in official tests, but in reality you’ll be doing well to get more than 40mpg in normal driving. Opt for the 3.0-litre V6 S and you’ll need considerable restraint to coax much more than 30mpg out of it. 

Affordability 9/10

Competitively priced, and it’s predicted to hold on to its value, too

On paper at least, the XE is neither significantly more expensive, nor much cheaper than any of its rivals to buy, while strong residual values help to keep leasing costs equally competitive.

The 99g/km CO2 emissions of the entry-level model will be welcome news to company car drivers, although the hybrid version of the Lexus IS will work out cheaper still.

What's more, this low figure only applies to the manual version; the more desirable automatic emits more. It's the other way around for the BMW 3-series, with the automatic version being the one to hit that 99g/km mark.

Jaguar’s fixed-price servicing plans at least make it easy for private buyers to budget over the longer term.

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Safety 9/10

Lots of advanced safety systems as standard

Jaguar XE dashboard

The Jaguar XE scored the maximum five stars when crash tested by Euro NCAP, and all models come with six airbags.

Every XE also gets a forward collision assist system that can automatically apply the brakes if it senses an impending impact with the vehicle in front, as well as road sign recognition that displays the current speed limit to the driver (admittedly with mixed results) and lane departure warning.

The XE is also the first car available with All Surface Progress Control, an advanced traction and stability control system that can help the car maintain a constant speed on slippery surfaces.

Standard spec 10/10

All models are well equipped

Jaguar XE dashboard controls

All models of the XE are well equipped, with even entry-level SE versions getting satnav, cruise control, DAB radio and those advanced safety systems.

Upgrading to Prestige adds heated leather seats, while Portfolio brings improved trim materials, a more powerful audio system and Bi-Xenon headlights.

Those seeking a sportier XE should upgrade to either R-Sport or S trim, which feature sports suspension, more aggressive styling and bigger wheels among their upgrades. 

Our favourite version

Prestige 2.0i (petrol) 200PS automatic, list price £29,295

Options you should add Metallic paint (£650), Parking pack (£560), electric power-folding door mirrors with heating and auto-dimming (£295), spacesaver spare wheel (£160)

The verdict 8/10

The Jaguar XE is a highly desirable car that takes the fight to its German rivals in a thoroughly convincing fashion. Not perfect (not least due to a lack of space for those in the rear), but mightily tempting, whether you’re a business user or a private buyer.

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