It is the most recent model in Volvo range, but it already has some upgrades. The new Volvo XC40, also named Europe’s Car of the Year receives new powertrains and trim levels.

The new powertrains are led by the debut of the much-anticipated T3 petrol, Volvo’s first ever three-cylinder engine. The latest addition to Volvo’s Drive-E engine family, the T3 is ideally suited to the XC40.

The compact, 1.5-litre, direct-injection unit develops 156hp at 5,000rpm and is matched to a six-speed manual transmission. An eight-speed automatic option will be introduced at a later date.

The XC40 T3 comes with 265Nm of torque available from 1,850 all the way to 3,850rpm. This helps support a towing capacity of up to 1.6 tonnes with a braked trailer. Acceleration is equally impressive for an entry-level petrol engine, with 0-62mph dispatched in 9.4 seconds. Efficiency figures reveal combined cycle fuel economy of up to 45.6mpg and CO2 emissions from 144g/km.

The XC40 line-up has further grown with the addition of the well-proven 2.0-litre, four-cylinder T4 petrol and D3 diesel engines. The 190hp T4 comes with all-wheel drive and an automatic transmission as standard, while the 150hp D3 offers both manual and automatic options, the latter with the added choice of front- or all-wheel drive. The established 247hp T5 petrol and 190hp D4 diesel complete the engine line-up, both with all-wheel drive and an automatic transmission.

The XC40 range also now offers a full spectrum of equipment grades: Momentum, R-Design and Inscription, each with an optional ‘Pro’ upgrade.

The standard equipment featured on Momentum models reflects Volvo’s progressive connectivity, entertainment and safety innovations, with features such as the Sensus nine-inch touchscreen control for multiple on-board functions and easy smartphone connectivity, satellite navigation, automatic LED headlights with Active High Beam, 18-inch alloy wheels and a dual-zone climate control system that monitors and maintains cabin air quality. The Volvo On Call remote control and emergency assistance service is also provided as standard, together with keyless start, rear parking sensors, cruise control, automatic windscreen wipers and integrated roof rails.

The Pro versions of each grade introduce further comfort and convenience elements, including heated front seats, larger-diameter wheels (on R-Design Pro and Inscription Pro models), active bending headlights, LED front foglights with cornering function, and a heated windscreen.

The full XC40 range, extending to 38 different combinations of engines, equipment grades and transmissions, is on sale now, with on-the-road prices ranging from £27,610 for the T3 Momentum manual to £37,620 for the T5 Inscription Pro automatic.