What's the difference?
There was a big kerfuffle a few years back when BMW made the decision to switch its entry-level 1 Series hatchback from a rear-drive platform to a newer, more efficient front-wheel drive architecture, shared with its Mini sister brand.
Despite the concerns of a few enthusiasts and motoring writers, the impact of the change in driven wheels hasn’t harmed the 1 Series’ reputation or sales.
As with the equivalent entry-level small car models from BMW’s premium rivals, the entry grade 118i is an expensive car for what you get.
But does the 118i hatch have enough charm to transcend the price and spec concerns?
The Polestar 2 was one of the first electric vehicles (EVs) in Australia to break through to the mainstream, however it has always been relegated to the Tesla Model 3’s shadow.
As a result Polestar is constantly playing catch up, releasing update after update for this premium-pushing electric liftback. The most notable was a major mid-life update in 2024.
Two years after this, Polestar has just rolled out the 2026 model year (MY26) update which introduces a range of subtle changes, largely under the surface.
It comes as Polestar is now introducing newer models, there’s mounting pressure from legacy carmakers who are only now catching up to EV tech, and Australians are moving away from buying passenger cars to SUVs.
Has this latest update improved the appeal? Read on to find out.
The 118i has restored my faith in entry-level models from premium brands. Could it do with more standard gear? Absolutely, especially at $50K, and given what you could get in a higher-grade variant from a mainstream manufacturer, like the Mazda3 or VW Golf.
But the 118i is a cut above the mainstream hatchbacks in terms of performance, driver engagement and how the car makes you feel.
If value is the priority, look elsewhere. But if your budget stretches this far and you can live without some of the luxo features, there’s little to complain about with the 118i hatch.
This latest update for the Polestar 2 is lovely, but driving the original is a reminder of how solid this car has always been if you overlook the inherent impracticalities of being an EV on a combustion-engine platform.
The fact you still get steady flow of over-the-air software updates bringing new features, plus you can now upgrade to the new Qualcomm processor chip, saving some coin and getting a second-hand model that’s a couple of years old isn’t a bad option at all.
Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.
Since the first-generation model arrived on the scene in the early 2000s, the 1 Series has had a slightly awkward design, partly due to the rear-wheel drive underpinnings. But this latest third-gen model, that debuted in 2019, is by far the most sleek and stylish yet.
This is helped by the slimline tail-lights, rising shoulder line and well-executed front-end design with the signature BMW quad headlights and wide 'kidney' grille.
In Australia the 118i comes as standard with 'M suspension' that lowers the ride height by 10mm, which gives it even more of a hunkered down look. The 'Black Sapphire' paintwork of the test car also upped the sexiness of the little hatch.
The 1 Series, and its competitors from Benz and Audi, are all visually appealing in different ways, ensuring they will each appeal to different buyers.
The interior design is unmistakably BMW, which hasn’t evolved significantly for about 15 years. Although new-generation models like the iX and the soon-to-launch X1 SUV prove that BMW can evolve.
BMW’s overall dash design and layout isn’t a million miles away from the edgy angular look of the new Audi A3 - and that’s no criticism.
The mixed synthetic leather and cloth trim on the seats has a cool blue cloth motif to break up the grey and add a small splash of colour to the cabin. Matching blue stitching on the dash and doors is a nice touch.
I’ve always been a fan of the Polestar 2’s exterior design and unlike many new cars it has aged like fine wine over the years. You need to remember the Polestar 2 dates back to 2016 when it was first revealed as a Volvo concept.
It still has clean lines, iconic lightning signatures, plus a tough stance that evokes just a touch of muscle car.
While it has taken me a while to come around to the new blanked-out grille insert, it suits the character of this car given it’s an EV. It also aligns with the wider Polestar design language.
For 2026 there haven’t been any major changes to the exterior. There’s a new sandy-like ‘Dune’ exterior paint colour replacing the silver ‘Jupiter’, plus a new 20-inch forged alloy wheel design for the Long range Dual motor Performance.
Inside, the Polestar 2 looks fundamentally the same as it did when it first launched, in the best and worst ways.
I appreciate how traditional car-like the layouts of the steering wheel, digital instrument cluster and touchscreen multimedia system are. Sure it doesn’t scream ultra high-tech anymore like some of its rivals, but there’s still an understated premium feel to it.
The same can be said for the rest of the Polestar 2’s interior. Everything feels purposeful in a minimalist way which helps make for a clean design.
Speaking of purposefulness, the optional Bowers and Wilkins sound system features a prominent tweeter on top of the dashboard. It looks stunning and is functional, helping to create an incredibly punchy and full sound stage in the cabin.
One of the few finishes I dislike in the interior is the glossy piano black on the steering wheel buttons. You interact with these frequently and it doesn’t take long for fingerprints to present themselves.
There’s now a new synthetic leather upholstery finish for those who opt for the $4700 Plus package. It’s quilted which helps emulate a premium puffer jacket-like look.
Although it’s expensive, the $4400 ‘Bridge of Weir’ Nappa leather upholstery is beautiful and required if you want ventilated front seats. You can only get black and white finishes, which is fine, but bringing back a tan or caramel option would be delicious.
Up front the 118i’s sports seats offer unbelievable levels of lateral support, and despite the bolsters being adjustable, it might be a little too snug for some. It’s expected for a pricey hot hatch but not the lower grade 1 Series. And given how much side support there is, it could do with a touch more under-thigh padding. The driver’s seat is power adjustable while the front passenger has to adjust their seat manually.
The typically chunky BMW M leather steering wheel looks and feels expensive and offers good grip. The minimal steering wheel controls are well labelled with text or clear icons. I appreciated the analogue air conditioning controls instead of them being buried in a multimedia screen menu.
The multimedia system menu is unfussy and while it’s not as tech heavy as some other systems, I don’t see that as a negative. It just means there are fewer functions you’re forced to remember. You can control the system via the 'iDrive' controller in the centre console or it can be used as a touchscreen. I like the way users are given both options. The 10.25-inch screen is nice and wide but quite narrow. Overall, BMW’s operating system is easy to use and functions well.
In terms of devices, the 118i has a wireless charging pad, as well as a USB-A and USB-C port, and a 12-volt charger up front.
It has a smallish central bin, but it’s fine for a number of smaller items. Tall bottles fit easily in the door storage bin and there’s a secondary slot for other items. The 118i comes with a decent sized glovebox, and two front cupholders with a nook for phones just behind it.
The 118i is more spacious than anticipated, especially in the second row. The back of the front seats are scalloped, allowing for a little extra knee room, but there is a good amount of legroom generally, and plenty of headroom, despite the lower roofline.
The rear seats are on the flat side but still comfortable, and there are ISOFIX points on the two outboard seats.
Rear seat occupants have access to map pockets, two more USB-C ports, and storage for big bottles in the doors (just), but there are no rear air vents. The seats fold 60/40 and there’s no central armrest.
Open the hatch and you’ll find a reasonably sized boot that can swallow 380 litres, expanding to 1200L with the rear seats stowed. There is plenty of under-floor storage because there’s no spare tyre on account of the run-flats favoured by BMW. There are, however, a couple of tie-down anchors and shopping bag hooks.
This has always been the downfall of Polestar 2 and it remains true.
While it’s pretty and has a cockpit-like design, the cabin can feel compromised in terms of space and storage. This is primarily due to the centre console which angles upwards sharply, aggressively segmenting the driver and front passenger space.
The only storage spots on the centre console include a shallow shelf under the centre console, a wireless phone charger and another uncovered storage nook under the touchscreen.
It doesn’t help that the cupholder situation doesn’t allow for a proper centre armrest. You either have no cupholders and an armrest, one cupholder and your arm barely reaches the armrest, or two cupholders and the centre armrest flops into the backseat space. It’s not ideal.
Gripes aside, there are still positives to the Polestar 2’s front row. The seats are comfortable on longer drives and allow for a large degree of electric adjustment.
Ahead of the driver the steering wheel thankfully has physical buttons, allowing for easy use on the move. I also love how satisfying the indicator stalk thwack is. It’s the little things that count.
The digital instrument cluster has a minimalist look and can be customised with a few layouts. I particularly like the Google Maps layout which shows your navigation when using the in-built app.
Moving across, the Google Built-in software for the multimedia system is still up there as one of the most usable out there currently. It’s easy to navigate, plus if you get lost there’s a convenient home button at the bottom of the screen.
Both screens are now driven by a more powerful Qualcomm processor chip which allows for better responsiveness, smoother performance and higher download speeds for in-car apps.
Although we didn’t get a huge opportunity to stress test this new chip, it’s definitely an improvement on the old one. You can technically upgrade your old Polestar 2’s chip through a Polestar service centre, though it conveniently doesn’t list how much this costs.
While physical switchgear is limited, there’s still enough to get by. Over the years I’ve grown accustomed to using the touchscreen to change the climate control, though some physical dials and buttons would be nice.
Apple CarPlay and Android Auto are available in wired form only, which is surprising as wireless smartphone mirroring is now commonplace. It does mean however that your phone will charge up reliably.
Moving to the second row, it’s arguably where the Polestar 2 is at its worst. At a leggy 182cm I do fit behind my driving position but headroom is tight.
It doesn’t help that there’s a huge transmission tunnel which technically isn’t needed given this car is fully electric. That’s a downside of using a combustion-engine platform.
Second-row amenities include air vents, two USB-C ports, as well as a fold-down armrest with cupholders. Heated outboard seats are optional.
At the back the button to pop the boot is down where the number plate is. It’s not overtly obvious unless you know where to look.
As standard the tailgate is manually operated and you need to get the $4700 Plus pack in order to get it electrically operated. It also gets a hands-free function which is handy if you’ve got your hands full with bags.
Boot space is 407L with the rear seats upright, expanding to 1097L with them folded. This includes a 43L underfloor section which is large enough for some cables. The boot size is fairly standard for a vehicle of this size and type.
There’s also a 41L front boot which can be used for further cable storage or other various storage needs.
The 118i kicks off the BMW 1 Series range from $49,900, before on-road costs. From there you can step up into the warmed over 128ti from $58,900, and the range is topped by the spicy all-wheel drive M135i xDrive in Pure ($67,900) or regular guise ($72,900).
The 118i’s circa-$50K price tag is a lot for an entry-level small hatchback, but it seems BMW has become better at including standard gear in its base variants. But it’s still not what you’d call generous.
Standard equipment in the 118i includes single-zone climate control, a head-up display, LED headlights and fog lights, an 'M aerodynamics' package, leather steering wheel, sports seats, a six-speaker audio system, auto-dimming rear-view mirror, rain-sensing wipers, 'M Sport' suspension, wireless smartphone charging, a 10.25-inch digital instrument cluster, and a 10.25-inch multimedia screen with satellite navigation, digital radio and Apple CarPlay.
The only option fitted to the test car was premium paint ($1308) which brought the price-as-tested to $51,208, before on-road costs.
So there’s some good tech on the list, but there could be more premium features, you know, given it’s a premium brand, and all. Heated seats would be nice, for example.
Unsurprisingly, BMW offers a number of different options packs ranging in price from $1700 to more than $4000, depending on what you want.
Its two closest rivals are of course from the other big Germans - the Mercedes-Benz A180 (from $49,890) and Audi A3 35TFSI ($47,100) hatchbacks. The level of standard gear is relatively even across the three, although the Audi has the lead when it comes to safety (more on that below), hardly surprising given it's the newest of the three.
There’s also the question of value, especially when you compare with high-grade small hatchbacks from mainstream brands. Models like the Mazda3 X20 Astina ($43,190 BOC), or Honda Civic VTi-LX ($47,200 drive-away) could be good alternatives, or for similar money you could get into something sporty like a Hyundai i30 N Premium (from $48,000 BOC) or for a few grand more there’s the Volkswagen Golf GTI ($54,990 BOC).
The 2026 Polestar 2 starts at $62,400, before on-road costs, for the Standard range Single motor and extends all the way to $85,080, before on-road costs, for the Long range Dual motor with the Plus and Performance packages.
This is more expensive than the similarly premium-pushing Tesla Model 3 ($54,990 to $80,900, before on-roads), as well as the more budget-oriented BYD Seal ($46,990 to $61,990, before on-roads).
Despite this, Polestar currently has some major deals and offers on new 2026 Polestar 2 stock to the tune of up to $13,000 off the drive-away price. This can see you drive away in a brand-new model for as little as $55,763, drive-away, in Victoria, which is around $5000 less than a base Model 3 RWD.
There’s a catch though… options. There is a slew of option packages and singular options available and they add up quickly.
Most notable is the new $3500 14-speaker Bowers & Wilkins sound system that must be bought in conjunction with the 'Plus package' which is $4700 on all trims besides the Long range Dual motor as it’s already standard.
Annoyingly, a heat pump is part of the $1500 'Climate package' which also brings heated rear seats, a heated steering wheel and heated wiper nozzles. So many carmakers now include heat pumps as standard fare in EVs as they help reduce energy consumption during colder months.
Beyond this, there’s a standard base of equipment which is fine for the price point. Highlights include LED headlights, a 12.3-inch digital instrument cluster, 11.2-inch touchscreen multimedia system, wired Apple CarPlay and Android Auto, wireless charger, dual-zone climate control and heated front seats with electric adjustment.
The 118i is powered by a three-cylinder turbocharged petrol engine, offering up 103kW of power and 220Nm of torque. It’s the same unit found in the Mini Cooper, albeit uprated by 3kW for the BMW.
It is front-wheel drive and the engine is paired with a seven-speed dual-clutch automatic transmission.
BMW says the 118i can cover the 0-100km/h sprint in 8.5 seconds.
If you’re after a quicker 1 Series, then the 180kW i28ti or 225kW Mi35i xDrive could be a better pick.
No changes have been made to the Polestar 2’s electric motor set-up for 2026.
Both the single-motor versions have been rear-wheel drive now for a few years and produce either 200kW or 220kW, depending on the battery pack.
The Long range Dual motor adds a front-mounted electric motor bringing total system outputs to 310kW and 740Nm. It’s capable of doing the 0-100km/h sprint in 4.5 seconds.
The $8980 Performance pack (available only on the Long range Dual motor) bumps the total system power output to 350kW. It also reduces the 0-100km/h sprint to 4.2 seconds.
According to BMW, the 118i consumes 5.9 litres of fuel per 100 kilometres. During my week of mixed driving with the hatch, I recorded a much higher average figure of 10.8L/100km. This was exacerbated by the fact I did my main test drive shortly before returning the car. It was much more efficient around town.
It has a 50-litre fuel tank and does require premium 95 RON petrol. In terms of CO2, the 118i emits 135g/km.
Although we didn’t get to drive it at this media launch, the entry-level Polestar 2 Standard range Single motor has arguably received the biggest refresh of the line-up with this MY26 update.
It now has a slightly larger 70kWh lithium-ion battery pack sourced from CATL, replacing the LG Chem-sourced 69kWh lithium-ion battery. As a result there’s 554km of WLTP-claimed range with up to 554km (up from 546km).
Long range versions still have a CATL-sourced 82kWh lithium-ion battery with between 568km and 659km of WLTP-claimed range, depending on the variant. This is good but Tesla has moved the game forward with its Model 3 Long Range RWD which offers up to 750km of range.
We didn’t get a chance to fully test out energy consumption during this media event, but Polestar claims between 14.8kWh/100km and 17.2kWh/100km, depending on the variant. This is much better than when the Polestar 2 first launched.
While the maximum AC charging rate remains at 11kW across the line-up, the Standard range versions can now DC fast-charge at rates up to 180kW (up from 135kW). This means a 10 to 80 per cent charge can now take as little as 26 minutes.
Maximum DC fast-charging for Long range versions is still up to 205kW, allowing a 10 to 80 per cent charge in 28 minutes. Lots of newer rivals offer faster charging now.
To be honest I wasn’t particularly hopeful of an engaging driving experience with the 118i given I have been underwhelmed by the base Mercedes-Benz A-Class. But after a week with the 1 Series, I reckon it might well be the pick of the premium players in this segment.
The 118i is also a much more enjoyable car to drive than the entry-level version of the outgoing X1 SUV with which it shares a powertrain. If you don’t need the extra cargo space or the ride height of the X1, then please test drive the 118i just to see what you’d be missing if you opted for the X1.
BMW has always excelled when it comes to building punchy powertrains for driver’s cars, and that continues to be true, even for its smallest internal combustion unit.
The 103kW/220Nm turbocharged three-pot is smooth yet responsive, offering linear power and torque delivery and acceleration that will bring a smile to your face.
Obviously it’s not as quick as its sportier 1 Series siblings, but make no mistake, you can still have fun in a 118i.
There’s a little bit of lag when taking off and some hesitation from the seven-speed dual-clutch transmission during shifts, but neither are deal-breakers.
That obsession with driver engagement has paid off with the steering which is quick and direct.
The suspension is geared towards dynamism and as a result of that, and the sharp steering, you’ll be seeking out the nearest twisty section of road every time you get behind the wheel. It’s planted in corners with excellent road-holding characteristics.
Unfortunately that dynamic tune, and the low-profile tyres, means the ride is on the firmer side and a little jiggly around town, but it settles at speed.
In terms of visibility, the 118i has huge B- and C-pillars, small rear side windows and a narrow rear windscreen, so you’ll be relying on the parking sensors and camera. The 11.4m turning circle feels large for a small car, too.
The cabin is well insulated from some outside noise but coarse chip roads will make their presence felt.
While outright practicality isn’t the Polestar 2’s strong suit, once you get on the road this melts away almost instantly.
This EV is and has always been a driver’s car that’s engaging and rewarding to steer. It’s a shame that many people’s first experience with it was likely in the second row as a rideshare with a driver that has a bad case of taxi foot.
Surprisingly, during the media launch drive program we had the opportunity to sample the original MY22 Long range Single motor and compare it back-to-back to the MY26 models. It’s rare this kind of thing happen.
This is notable because single-motor versions made the switch from front- to rear-wheel drive back in 2024.
While the MY22 example feels like a bulldog yet still capable of carving up corners, it holds up well if you ignore the odd cabin rattle and creak. You can also feel a marked difference with how the rear guides the latest MY26 Long range Single motor instead of the front when pushed.
This isn’t apparent in calmer, everyday driving situations. If you’re not a car person you likely wouldn’t be able to tell the difference.
The rear-mounted electric motor produces an adequate amount of oomph, allowing you to get up to speed with ease. Like all EVs you get snappy acceleration from a standstill, which is thrilling.
This is dialled up to 11 in the Long range Dual motor Performance. Although the Model 3 Performance is technically faster, it still feels like this Polestar 2 is quick enough.
In the fully loaded all-wheel drive trim you’re able to carve corners enthusiastically. It’s incredibly confidence-inspiring to chuck into corners as there’s grip for days and a bucketload of power to back it up.
Although the regenerative braking system is pretty powerful already, the Performance pack adds chunky Brembo physical brakes for added peace of mind. Perhaps Tesla could take note of this?
The aforementioned Performance pack also adds manually adjustable Öhlins dampers with a ‘Polestar Engineered’ performance chassis. It’s an incredible package with a dialled-in feel, though if you want to adjust the dampers you need to jack up the car.
If you’re not keen on outright performance, the regular Polestar 2’s suspension set-up still holds its own but has an added level of all-around comfort. It’s an improvement from the original which was a little too firm.
Across the line-up the steering is direct and makes this car feel nimble regardless of where or how you’re driving. You’re able to select from different steering feels which increase or decrease the resistance.
Given EVs have no engine noise, they can sometimes have more noticeable road and wind noise out on the open road. Thankfully the Polestar 2’s cabin is quiet enough, that is unless you’re driving on coarse-chip roads.
The 1 Series range was awarded the maximum five-star rating from crash safety watchdog, ANCAP, in 2019.
The 118i comes with front and rear parking sensors, reversing camera, cruise control, low-speed auto emergency braking, forward collision warning, rear cross-traffic alert, lane departure warning, driver fatigue detection, and six airbags.
It is not fitted with a front centre airbag to help mitigate against injury between the driver and front passenger in a side collision. Only the Audi A3 has this out of the three Germans in this segment.
In this grade, the 1 Series is fitted with regular cruise control, rather than the adaptive system that moderates speed according to the speed of the vehicle ahead. It is a surprise to see the more old-school system in a BMW.
The lane keeping aid works well, smoothly centring the vehicle in the lane when required.
The Polestar 2 received a maximum five-star ANCAP safety rating based on testing conducted in 2021.
Standard safety equipment includes eight airbags, autonomous emergency braking (AEB), blind-spot monitoring, rear cross-traffic alert, adaptive cruise control, lane-keep assist, lane centering, front and rear parking sensors as well as a surround-view camera system.
This amount of safety tech is pretty standard fare now, but I particularly like how well they are tuned. It’s more noticeable in a world where new cars from new carmakers continually chime at you even though you’re driving normally.
There are ISOFIX child seat anchorages on the two outboard rear seats, plus top-tether points on all three rear seats.
BMW continues to offer a three-year/unlimited kilometre warranty for its models, which is disappointingly a couple of years off most rivals these days.
The German giant also does things a little differently when it comes to servicing. Instead of service schedules, it has ‘condition-based servicing’, which is when the vehicle’s computer will inform you when the car needs a service.
BMW’s Service Inclusive pre-paid plan runs for five years or 80,000km for the 1 Series, and costs $1700 up front when you buy the car. That averages out to about $340 per service, which isn’t bad for a premium marque.
The Polestar 2 is covered by a five-year, unlimited-kilometre warranty, whereas the high-voltage battery is covered by an eight-year, 160,000km warranty.
While this battery warranty length is standard, a five-year warranty is getting a little short now in the grand scheme of things as many brands are moving to seven-year warranties.
Owners also get five years' of roadside assistance which can be accessed by pressing the ‘Connect’ button on the overhead console. It’s available 24/7 and includes car recovery and alternative transport, if required.
Logbook servicing is required every 24 months or 30,000km, which is standard for EVs. At the time of writing Polestar Australia was finalising service pricing for the MY26 2 and we'll update this review as soon as we receive the details.
There are a total of 23 Polestar service centres around Australia, a number of them shared with Volvo.