What's the difference?
If you think it’s a Mercedes-Benz A-Class you want or maybe an Audi A3 Sportback or even a Volkswagen Golf, then stop and read this first before making a purchase.
The BMW 1 Series alternative isn’t just another prestige little car, because there are some fundamental differences between this 1 and those others, and they could cause you to totally rethink your decision.
If you’re already keen on getting a 1 Series then you need to read this, too, not only to help you find the right one, but also to alert you to what might be a couple of uncomfortable truths.
The Australian market hasn’t truly revolved around a sedan since I was a kid. These days it’s all about SUVs, and anything low-slung is easy to overlook when it comes to family hauling. Add to that the current fixation on hybrid and electric powertrains, and a mid-size petrol sedan feels almost out of step.
And yet, here’s the MG7.
It’s a mid-size fastback with a turbo-petrol engine and just one trim level. Its sharp styling is matched by an even sharper price, and it doesn’t seem particularly concerned about not fitting the current mould.
It lines up against the Toyota Camry SL, Skoda Octavia Sportline and Hyundai Sonata N Line and raises an interesting question. Is this the sedan comeback nobody saw coming? And could it remind modern families why sedans were once king?
I’m the first to say the 1 Series is kind of the ugly duckling of the BMW family, but those looks grow on you, especially when you consider that this is exactly what a BMW hatch should look like. That this is one of the only rear-wheel-drive hatches left on the planet makes it even more special – and of course engaging to pilot. The downside is the price and the lack of value from a features perspective, plus safety could be bolstered with more technology. Still, anybody who likes to drive will commend you on your choice of a BMW.
In a world obsessed with SUVs and electric powertrains, a mid-size petrol sedan almost feels rebellious. But the MG7 kind of is. A sleek fastback with a turbocharged engine, a sporty edge and a price that makes you look twice - it’s a compelling combination. There are some drawbacks for families in efficiency and back-seat practicality but it's not a bad offering for those wanting something a bit more fun than an SUV.
The 1 Series looks exactly how a BMW hatchback should. I know that sounds silly but what I mean is BMW could easily have designed something that was proportioned more like other hatches; that popular sort of bubble on wheels.
Instead, what you have is a hatch that retains BMW’s traditional attributes – there’s the long nose, the cabin set back, the high sides and the wheels placed almost at the very corners.
Seriously, look at the image of the orange 1 Series side on, now hold your out your hand and use it to cover just the windows – see, it looks just like a BMW 2 Series convertible. Does it look good? To me it does, right up until you get to the hatchback, and then it looks a bit awkward. But I do admire BMW’s designers for creating something unique looking.
That orange 120i ('Sunset Orange' is the official colour) is the most recent 1 Series I’ve tested. Those wheels aren’t standard, they’re 18-inch M ones and they are part of the optional 'M Sport Package', which also includes the body kit, complete with side skirts and the lower grille in gloss black.
The 1 Series is as affordable as BMWs get, but it’s still a real BMW. The cabin, for example, looks much like every BMW, only smaller.
There’s the large, slab-like dash with the display sitting atop, below are the air vents and below that is the radio and then the climate-control dials. It’s a stack that’s kept its familiar order and shape on nearly all BMWs for what seems like forever.
The centre console has a similar layout as the one in a 3 Series or 5 Series or any Series, with the shifter and rotating media controller. Even the doors have the same design as those cars higher up in the BMW family, with the big moulded pockets and large pull handles.
The cabin isn’t as ‘blingy’ as the new Mercedes-Benz A-Class, but it’s not as plain as the Audi A3.
That steering wheel is part of the M-Package too, but the leather upholstery is a separate option.
The signs that this isn’t a more expensive BMW are the manual handbrake, the compact instrument cluster with analogue dials, the small dash-top display and the fact that there’s a lot less real estate to be covered by trim pieces and material, which doesn’t have the same high-quality feel as those fancier models.
The cabin isn’t as ‘blingy’ as the new Mercedes-Benz A-Class, but it’s not as plain as the cockpit of an Audi A3 – it’s somewhere in between; refined and well designed.
At 4.3m end to end, the 1 Series is 16mm shorter that the A3 Sportback and 20mm narrower, at just over 1.7m across.
The MG7 is genuinely good looking. The fastback roofline gives it a sleek silhouette, and there’s a confidence to the way it carries itself.
The blacked-out badging, quad exhaust outlets, 19-inch Michelin tyres and red brake calipers all lean into that sporty brief. It looks fast standing still. The frameless doors are a nice touch, and the retractable rear spoiler adds a bit of theatre and fun.
Inside, the cabin follows through on that upmarket intent. Deep burgundy leather and synthetic suede are used generously throughout, giving it a sumptuous feel. Although, my husband joked that he wouldn't be able to drive it during State of Origin... sorry, Queenslanders!
There’s less reliance on piano black trim, which I appreciate as it scuffs easily, and most surfaces look well-finished. The integrated headrests up front give the illusion of proper sports seats but I do wonder if the interior would pop half as well if it was finished in the optional black.
The dashboard is dominated by a wide digital display incorporating a 10.25-inch instrument cluster and a 12.3-inch media screen. The panoramic sunroof helps keep things light and airy, and while there aren’t many physical buttons or dials, which is usually a gripe of mine, the overall execution feels cohesive and premium for the price point.
The 1 Series’ boot has a cargo capacity of 360 litres, which is more than the boot space of the Audi A3 Sportback (340 litres) but less than the new Mercedes-Benz A-Class’s 370 litres of luggage room.
What does that mean in real-world terms? It’s not a lot of space, and you might struggle to get a pram in, so check that beforehand if you have small ones. That said, there was enough room for two carry-on sized bags, a computer bag and a scooter when my wife and I went on a weekend away with our four year old.
Space in the second row is also limited. Headroom isn’t too bad, but at 191cm tall I can’t sit behind my driving position without my knees digging into the seatback. I can just fit back there in the A3 and I have even more room for my knees in the A-Class.
Room up front is good with plenty of shoulder, head and elbow room for somebody my size.
Storage could be better: you’ll only find cup holders up front (two of them), the centre-console storage bin is small and so are the door pockets in the rear, but all is not lost because the door bottle holders in the front are massive, the glove box is a decent size and there are nets on the backs of the front seats.
It’s good to see directional air vents in the second row and a 12V power outlet, but there aren’t any USB ports back there – if you want to plug in a device there’s only one and it’s up front, along with another 12-volt outlet.
The rear doors appear large from the outside but the aperture to get in and out isn’t huge – again look at the images to see what I’m on about.
Up front is where the MG7 feels most generous. The electrically adjustable front seats are comfortable and supportive for daily driving, although extendable under-thigh support would help reduce fatigue on longer trips. You do get heating for both the seats and the steering wheel but having to dive into the media menu to activate them is annoying.
In the second row, legroom is respectable for a mid-size sedan. Headroom, however, is tighter thanks to the fastback roofline and panoramic sunroof. Tall teenagers won't feel like they can sprawl out but younger kids will be fine. The second row features two ISOFIX child seat mounts and three top-tether anchor points but two child seats will fit best. Bending down to buckle in a child will remind your back why SUVs became all the rage, but it's certainly doable.
The seats in the second row are thickly padded and comfortable, and the fold-down armrest sits at a good height to lean on. Amenities aren’t especially extensive given there’s only one grade available, but you do get a couple of cupholders, map pockets, directional air vents and two USB-C ports.
Storage in the front row is about what you’d expect for a car of this size. There’s a decent glove box, a shallow middle console, large door bins and some handy little nooks near your knee. A sunglasses holder and a dedicated phone cradle with wireless charging round things out nicely. The wireless charger can lag a little in topping up your battery, and it's quick to overheat your phone - added ventilation would be a big help here. However, there’s also a 12-volt socket and two USB-C ports if you prefer a cable.
The media system itself is responsive and largely intuitive, although the touchpad-style controls on the dash feel slightly back-to-front in use. On the plus side, it’s very easy to flick into Sport mode and open up the exhaust using the cluster controls, which adds a bit of fun to the daily drive.
The boot offers 375 litres of capacity, which is on the smaller side for the segment. Comparatively, the Sonata N Line offers 480L, the Skoda Sportline 600L and the Camry 524L. That said, it’s been perfectly usable for grocery runs and the odd road trip this week. You do need to load bulkier items further back toward the seats to work around the sloping fastback design. A powered tailgate adds convenience, and there’s a temporary spare tyre underneath, which I always prefer to a repair kit.
So, it’s a little BMW, does that mean the price is little? Nope. It’s like asking if a little Rolex is cheap. it might be cheap for a Rolex, but not for a watch in general, and it's the same for the 1 Series.
The 1 Series range starts at $39,990 for the petrol 118i, while its 118d diesel twin is $44,990. Both come with the standard Sport Line package, which adds 16-inch light alloy wheels and LED headlights, while in the cabin it brings cloth upholstery, sports seats and a leather sports steering wheel, high-gloss black trim and BMW scuff plates. Other standard features include a 6.5-inch display, with sat nav, reversing camera, six-speaker stereo, a digital radio and air-conditioning.
The 125i is only a tempting $3000 above the 120i at $49,990 and comes standard with the M Sport Package
For another $7000 you can get into the 120i grade, which lists for $46,990 and comes standard with the Urban Line package, which fits 17-inch alloy wheels in the double-spoke style, adds front and rear bumpers with matt finish air intakes, plus dual chrome tail pipes, while the cockpit gets leather upholstery, and gloss-black and pearl-effect trim.
Along with the Urban Line gear, the 120i has all of the 118i’s standard features and adds more of its own, including front and rear parking sensors, LED fog lights, dual-zone climate control, the interior lights package, plus smart phone connectivity with voice control.
The 125i is only a tempting $3000 above the 120i at $49,990 and it comes standard with the M Sport Package, which is what our most recent test car was fitted with (see the images of the orange 120i). The M Sport pack adds 18-inch light-alloy wheels and the tough body kit, the M Sport steering wheel and aluminium trim to the interior.
Apart from the M Sport package, also standard is an 8.8-inch screen with a DVD player and, somewhat disappointingly, cloth and Alcantara seats. Sure, they look nice, but how did the 120i get real leather and the 125i didn’t?
Still the 125i comes with more impressive performance hardware than the grades below, such as sports suspension, variable steering, M Sport brakes (inner vented rear discs) and blue calipers.
At the top of the 1 Series range is the M140i and while it’s getting into pricey territory at $59,990 (don’t forget that’s not including the on-road costs), you are getting what I’m predicting will be a sought after car in years to come. And possibly even a collector's item.
The M140i isn’t a fully fledged M car – it’s a diet version from the M Performance section of BMW, which gives cars a bit of a taste of the hardcore world of beasties like the M2 and M3, without costing as much or being quite as brutal to drive.
I’ll talk about the high-performance parts more in the sections on driving and engines, but briefly, you might like to know the M140 gets adaptive suspension and a six-cylinder turbo petrol engine – yes in a tiny hatch. Powerful.
The price is bang-on compared to rivals such as the new Mercedes-Benz A-Class and Audi A3
The M140i also has the standard features of the 125i and adds its own, such as the 18-inch alloy wheels, black chrome tail pipe, adaptive LED headlights, leather upholstery, keyless entry, power front seats and a Harmon/Kardon 12-speaker stereo.
So, is the 1 Series good value? The price is bang-on compared to rivals such as the new Mercedes-Benz A-Class and Audi A3 (click those to see my reviews of them, too), but the 1 Series gets less in standard features compared to the Benz (such as Apple CarPlay) and about the same level of equipment as the A3.
If you’re a fan of black and white, you might be relieved to know these are the only two colours you won’t have to pay for. The rest, including Sunset Orange (see the images), Seaside Blue, Melbourne Red, Glacial Silver and Mineral Grey cost $1190.
For now, the MG7 is offered in a single grade, the Essence, priced from $44,990 before on-road costs.
That positions it just above the Skoda Octavia Sportline, which starts from $44,490 MSRP, although the Skoda doesn’t match the MG7 feature for feature. In terms of features and styling, it’s closer to the Hyundai Sonata N Line, which opens at $56,500 MSRP. And then there’s the segment darling, the Toyota Camry SL, from $53,990 MSRP, happily flexing its hybrid efficiency credentials.
On price alone, the MG7 looks competitive. On specification, it starts to look like a bit of a statement. You get leather and synthetic suede upholstery, heated and electrically adjustable front seats, memory function for the driver’s seat, a heated steering wheel, a panoramic sunroof and 19-inch Michelin tyres.
Technology feels well thought out and a large centre display houses a 12.3-inch media system, paired with a 10.25-inch digital instrument cluster that appears larger than it is thanks to the integrated touch controls. There’s wired and wireless Apple CarPlay and Android Auto, built-in satellite navigation, 256-colour ambient lighting and a 14-speaker Bose sound system.
Practicality hasn’t been overlooked either. A powered tailgate, temporary space saver spare wheel, dual-zone climate control, acoustic door glass, rain-sensing wipers and a 360-degree camera system round out the package.
As you step up through the grades the engines become more powerful. The entry-grade 118i has a 1.5-litre three-cylinder turbo-petrol making 100kW of power and 220Nm of torque, while its diesel twin has a 2.0-litre turbo-four making 110kW and much more torque at 320Nm.
The 120i has a 2.0-litre turbo-petrol four-cylinder and an output of 135kW and 270Nm. Then above that is the 125i, which is getting into performance territory with its 2.0-litre turbo four petrol making 165kW and 310Nm.
But all hail the M140i and its beautiful 3.0-litre six-cylinder turbo-petrol, with 250kW and 500Nm that it wants to share with you.
All cars are rear-wheel drive and all have an eight – hang on, that’s important: all cars are rear-wheel drive. Do you know how many other hatchbacks are rear-wheel drive? Try next to none – not the A-Class, not the A3, not the Golf. Rear-wheel drive is favoured for performance cars because it offers better balance and better acceleration thanks to the weight shift to the rear of the car. BMW has long claimed that RWD is one of the keys to its "sheer driving pleasure".
Now let me finish the sentence... all have an eight-speed automatic, and it’s a beauty – a little slow, but smoother for driving than a dual clutch, and way more fun than a CVT.
But wait, because there’s a manual gearbox, too. It’s a no-cost option and you can get it on any variant apart from the 125i.
The MG7 has a 2.0L, four-cylinder turbo-petrol engine producing up to 170kW of power and 380Nm of torque. That’s pretty gusty compared to its nearest rivals, although the Sonata N Line still beats it with its 213kW/422Nm outputs. The Hyundai is more of a dedicated sports model. Still, with these outputs the MG7 manages a 0 -100km/h sprint in a swift 6.5-seconds!
Power is delivered to the front wheels and the nine-speed auto transmission punches through its gears relatively smoothly. You can also flip it into Sport mode, where gear changes become more pronounced.
Overall, the whole setup creates an engaging on-road experience without lulling you into any false pretences. The MG7 is not a racer, even though it looks like one, but it holds its own.
BMW says its most efficient petrol engine in the 1 Series range is the three-cylinder in the 118i, which uses just 5.2L/100km after a combination of urban and open roads.
The diesel unit in the 118d will use 4.2L/100km. Let that sink in for a moment – petrol engines are becoming so fuel efficient that they’re rivalling diesels, which have long been lauded for their frugality.
So don't just buy the diesel just because it’s more efficient, because you may never recoup the extra money you paid over the 118i.
Thirstier but still super-efficient is the 2.0-litre in the 120i. BMW’s claim is 5.9L/100km. During my week with the 120i I put 413km on the clock and used 15.57 litres doing so (measured at the pump), which comes to 7.7L/100km. The car’s computer said 7.8L/100km.
That’s great fuel economy, even if it is higher than the claimed figures. The 125i’s official fuel consumption is also 5.9L/100km.
It’s not surprising that the M140i, with its 3.0-litre six-cylinder turbo-petrol engine, is the least fuel efficient but its official figure of 7.1L/100km is still low.
The MG7 has a claimed combined fuel consumption figure of 8.0L/100km. With its 65-litre fuel tank, that equates to a theoretical driving range of up to 812km.
That places it broadly in line with the Hyundai Sonata N Line, which claims 8.1L/100km, although the Hyundai delivers stronger engine outputs. The Skoda Octavia Sportline is notably more frugal at 6.1L/100km, while the Toyota Camry SL continues to dominate the efficiency conversation with its 4.0L/100km hybrid figure.
In real-world driving, expect that 8.0L/100km claim to creep up. Even after a week consisting mostly of longer highway stretches, my trip computer was sitting at 8.6L/100km. That’s not wildly unexpected for a turbo-petrol engine, and it’s hardly alarming, but efficiency is a major consideration for families. Against hybrid rivals, it doesn’t win that particular argument.
Combined CO2 (ADR 81/02) emissions sit at 183g/km, which is comparative to the Hyundai Sonata N Line but not as low as its other rivals.
If I could run into a showroom and take whichever 1 Series I wanted it’d be the M140i – and not just because it would give me the best chance of outrunning the police after they discovered the break-in, but because the thing is so much fun to drive.
It’s also the most expensive, of course, but it’s worth it for that screaming straight six and for its agility.
You’ll have fun, though, in every grade of the line-up – they’re all engaging to pilot with great driving positions, good pedal feel and that eight-speed auto is smooth in traffic yet will shift hard when you have your race face on.
You might find the 118i, with its three-cylinder, a little under powered, especially with five people and their bags on board. If you’re keen on this grade, then consider the diesel, which will give you more torque. Our 120i test car proved to have enough oomph for overtaking and moving quickly when needed.
The 125i is less tame, with its throatier exhaust note, firmer ride and better handling thanks to the M suspension.
If you plan on choosing the M Sport Package for, say, the 120i keep in mind that you’ll lose the comfortable ride these cars have on their standard tyres.
Our 120i had the pack and while the body kit looks tough, the 18-inch alloy wheels shod in low-profile rubber (225/40 R18 Bridgestone Potenza 5001s front and 245/35 R18 at the rear) meant the ride was overly jarring on bad roads.
Given that Sydney was my test bed for the 120i and its roads are shocking, the ride was less than comfy. The M-sport suspension will only make the ride less comfortable, but in return you’ll have a 120i with better handling.
Run-flat tyres are common on BMWs and you may have heard of a few issues surrounding noise and a harsher ride. While that can be true, it's the price you pay for having a tyre you won’t immediately have to change if you get a puncture. Only the 120i and the M140i don’t have run-flats as standard.
Power delivery in the MG7 is smooth and responsive, and it doesn’t take long to feel confident with the turbo-petrol engine. For a bit of extra fun, flick it into Sport mode and open the exhaust; gear changes become more pronounced, and the engine note gets noticeably throatier. It’s not a performance sedan, but it’s definitely engaging on the road.
Handling is another highlight. The steering is responsive and firms up depending on your selected drive mode, and the low-slung stance helps the car feel surprisingly nimble in corners. That said, it’s not always surefooted when accelerating out of tight bends, which reminds you that the MG7 is sporty but not track-focused.
Visibility is adequate but not perfect. The thicker pillars, lower roofline, and relatively small windows do make the cabin feel a touch enclosed, and there’s some road noise, which is enough to remind you it’s not a luxury saloon, but it never becomes intrusive.
The MG7 feels agile in tighter spaces, and the 360-degree camera system is high-quality. Parking is straightforward, which frazzled parents will appreciate.
The BMW 1 Series has the maximum five-star ANCAP rating, but this was awarded in 2011 and a lot has changed since then – particularly expected levels of safety.
BMW has updated the advanced technology to keep up with AEB (city) with pedestrian detection and lane-departure warning standard on all grades. It would be good to see more safety tech in the form of blind-spot warning, rear cross traffic alert and lane-keeping assistance.
For child seats you’ll find two ISOFIX mounts and three top tether points across the rear row.
A spare tyre is not something you will find – all apart from the 120i and the M140i have run flats, while those two have puncture-repair kits.
The MG7 has a maximum five-star ANCAP safety rating from testing done in 2025 and scored well across its individual criteria with 88 per cent for its adult protection, 85 per cent for child protection, 80 per cent for vulnerable road user and 81 per cent for its safety assist.
Passive safety items include seven airbags including a front centre airbag and curtain airbags covering both rows. Families will like that there are two ISOFIX child seat mounts and three top-tether anchor points but realistically, two child seats will fit best. There are also powered locks for the rear windows and intelligent seatbelt reminders for all five seats. Parking is easy with the rear parking sensors and 360-degree view camera system.
Active safety includes forward and rear collision warning, lane keeping aids, lane departure warning and prevention, blind-spot detection, side exit assist and a relatively unobtrusive driver monitoring system.
Other highlights include emergency lane keeping, which will activate when there’s no response from the driver and the rear cross-traffic alert also gets assisted braking. The adaptive cruise control is fairly well-calibrated and it’s a bonus having the emergency call functionality, although it seems to connect to an MG service line, rather than directly with emergency services. And you have to select which country you’re in before it activates, which might not be a delay you want when you really need it!
There’s autonomous emergency braking with car, pedestrian and motorcyclist detection and it's operational from 4.0 – 85km/h and up to 150km/h for car detection but it is more typical to see that top figure closer to 180km/h.
The 1 Series is covered by BMW’s three-year/unlimited kilometre warranty. Servicing is condition-based – the car will let you know when it needs a check-up.
BMW offers two service packages, which cover the car for five years/80,000km: the Basic is $1340 and the Plus costs $3550.
MG backs the MG7 with a seven-year, unlimited-kilometre warranty. If you service exclusively through MG service centres, that coverage can be extended to 10 years or up to 250,000km, which makes it one of the more generous warranty offerings currently available.
At the time of this review, servicing intervals and service prices haven't been set for the MG7. It's fairly easy to secure servicing for an MG, as they have around 90 service centres nationwide at the moment.