What's the difference?
The current-generation Honda CR-V is a deeply impressive vehicle. It’s won a bunch of awards, it’s one of CarsGuide’s top picks for a medium SUV and it’s got decades of heritage.
Despite all this, it’s not as popular as it once was. The Toyota RAV4, Hyundai Tucson and newer rivals, largely from China, have grabbed the attention of Australian buyers.
Halfway through the sixth-generation CR-V's life Honda Australia has improved the offering, and the timing couldn’t be better.
As the fuel crisis looks to be hanging around for a while, Honda has trimmed the pure petrol grades from six to two and added three more hybrid grades. Previously hybrid power was only offered on the flagship e:HEV RS at around $60k drive-away, but now you can get a petrol-electric CR-V for just under $50k.
Not much else has changed with the model year 2026 update aside from some new spec on select grades, but Honda has addressed the CR-V’s biggest criticism by making hybrid power more affordable.
MG needs a win, and the MG4 Urban may be the right car at the right time to give the Chinese brand a major boost.
It has been a rough few years for MG, with sales in decline for the past two years, which has seen it tumble from Australia’s favourite Chinese car maker to a distant fourth place behind BYD, GWM and Chery.
Part of that could be because of its rapid expansion, both in terms of its total number of models but also the size of the vehicles it’s offering. The larger QS SUV and U9 ute have both received underwhelming responses from the car-buying public.
So, MG has returned to its roots - small, affordable cars. The MG4 Urban, not to be confused with the MG4 Hatch, is its new price-leading electric car and the company’s new management hopes it leads a sales revival.
What a joy it is to drive such a complete, solid, refined car. Close to three years into its life, the sixth-gen Honda CR-V remains one of, if not the best mid-size mainstream SUV in Australia. I say ‘one of’ as I am yet to drive the new-gen Toyota RAV4 so I’ll wait to test that before giving a final judgement.
The new entry-grade VTi X e:HEV is a winner and you likely won’t need much more kit than what it offers. But you wouldn't regret paying a bit more for the extra spec in higher grades.
Aside from the lack of a space-saver spare wheel in hybrid grades, most of the other negatives are forgivable.
If you are looking for a mid-size family friendly SUV, please go and test drive the CR-V. Very few brands are doing things as well as Honda right now.
The MG4 Urban is not only the right car at the right time, perfectly catering to buyers looking to avoid rising petrol prices, it’s also a welcome return-to-form for MG as a brand.
MG is seemingly at its best when it sticks to small cars. It has traditionally excelled with the MG3 and ZS, smaller, more affordable products that keep expectations in check and can win over customers looking for the best bang-for-their-buck rather than simply the best car.
That’s not to say the MG4 Urban isn’t a good car. It offers tremendous value for money, excellent interior space and drives nicely, so anyone who has been considering making the switch to an EV should seriously consider this new arrival.
Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.
If you’re familiar with the sixth-generation CR-V that launched in late 2023 then you’re familiar with the 2026 version. No visual changes have been made, although the flagship RS now has gloss black mirror caps and door handles.
It is a handsome design for sure, but it doesn’t elevate the medium SUV segment, nor does it do anything different or interesting.
I remember thinking it already looked a bit old when it launched, specifically the entry-grade versions, and given there’s a lot more competition in the segment now, a nip and tuck would've helped.
Nothing has changed design-wise inside. It has an appealing but somewhat conservative design with cool elements like the honeycomb mesh horizontal panel housing the air vents, and the classy chrome dials.
MG says the design inspiration for the MG4 Urban came from the $100,000 Cyberster. While there are certainly a lot of differences between that roadster and this hatchback, the air-intakes and wheel design are indeed very similar. And I guess the badge is the same too, so there’s that…
But, comparing it to the Cyberster misses the point. What makes the MG4 Urban’s design more interesting is the bits you can’t see. While it shares the same name as the MG4 Hatch, this car has almost nothing in common with it. That’s because this new MG4 Urban is based on the brand’s newer EV underpinnings that debuted on the MGS5 EV.
That means the MG4 Urban is front-wheel drive, whereas the hatch is rear-wheel drive, and because of the way the battery is integrated into the chassis, it creates not only a bigger hatchback but also one with a different shape.
The Urban is more ‘cab forward’ (to use design parlance) meaning a shorter bonnet, which creates more cabin room. It also means there is more boot space because the powertrain is located up front.
MG does a good job with cabin presentation too. It’s another step forward for the brand, improving the overall level of fit and finish from its earlier models, to create a cabin that looks modern and doesn’t feel like it has been built to a price.
The CR-V is a medium-size family SUV with a long history of practicality at its core, so it has to get the fundamentals right. And, largely, it does.
Up front the CR-V is a spacious car with ample head room and decent space across. The seats are well-bolstered and comfortable across the model grades. The seats in the RS are almost sports seats with ample side bolsters and black leather-appointed trim with red stitching, but I prefer the cloth trim of the VTi X.
Storage is handled by sizeable door bottle holders, a pair of cupholders up front and a big central bin, with a few other nooks for phones and the like.
Connectivity-wise there’s a pair of USB-C ports and a wireless charging pad on all grades. The multimedia screen is small by today’s standards, but it’s hard to fault its functionality. Large menu tiles are easy to identify and swipe through, and thankfully there is a separate space on the stack for air-con with actual buttons and dials. And the dials look great! Virtually every Chinese brand (and Tesla), please take note.
Google Built-in is a solid system as it allows you to log into your own Google account and access your saved places on Maps. I used this when I reviewed the Accord and barely needed to use Apple CarPlay. On the launch we mostly used CarPlay because of time limitations, and unlike when I attended the original sixth-gen CR-V launch, the Apple connection worked without fault.
Rear-seat space is ample, especially when it comes to leg, knee and toe room, but headroom is impacted in the RS by the panoramic sunroof. There’s scalloping in the roof to help with this, but my head (I’m 6ft tall) almost scrapes the roofliner.
Sadly the CR-V doesn’t have the ‘magic’ seats of other Honda models. That system allows you to fold the base upright on all three rear seats, or even remove the seat entirely, to allow for extra cargo space in the second row. The CR-V just has standard 60-40 split-fold seats.
You also get map pockets on the rear of both front seats, two more USB-C ports, fold-down armrest with cupholders, knee-level air vents and enough space for a small bottle in the doors.
The boot measures a healthy 589 litres for the five-seat petrol, as well as VTi X and L hybrid grades. That drops ever so slightly to 581L for the VTi LX and RS hybrids. And it’s just 150L for the seven-seater with the rear rows in place. The boot in the five-seat versions has a flat floor for easier loading of heavy items, as well as a 12V outlet, hooks, nooks and lights. It’s a decent, practical space.
Only the five-seat petrol grade has a full-size spare wheel. The seven-seat petrol has a space saver spare, while the hybrid has none at all - just a dismal tyre repair kit. That’s not good enough, Honda. Many of your hybrid rivals have at least a space-saver these days.
As I just mentioned, the cabin is bigger than the other MG4, which creates good space in both seating rows.
Up front they’ve placed the gear selector on the steering column to create space for more storage in the centre of the car. That means there’s plenty of shelves, cubbies and cup holders to take care of your small (and not so small) items, spread across the cabin.
As for the boot, the switch to a front motor and a smaller rear suspension means a 382-litre boot with all seats up and 1266L if you drop the back seats. Plus there’s a 98L underfloor storage spot, in place of a spare wheel (with a puncture repair kit included instead).
The design of the key controls are simple and easy to use, with a digital display for the instruments ahead of the driver and a 12.8-inch multimedia screen in the centre of the dashboard.
Navigating the menus is relatively straightforward but in a victory for user-friendliness, MG has listened to feedback (and incoming Chinese government regulations) and added some physical controls. There are buttons and a dial for the air-conditioning system and a volume knob for the sound system.
There are now six CR-V grades following this model-year update. The two petrol grades are the VTi X and VTi L7. The latter is now the only seven-seat offering after one of the grades was dropped due to low take-up.
Pricing for the petrol versions is actually up a little, with the VTi X kicking off the range at $44,900, a $3000 increase over the former base grade. The VTi L7 is up by $2600 to $54,900. By the way, all Honda pricing is inclusive of on-road costs.
But the hybrids are the big news. The only hybrid used to be the e:HEV RS at $59,900 d/a, but it now starts at $49,900 for the e:HEV X. From there you move up to the e:HEV L at $53,900, then the e:HEV LX at $58,900.
The e:HEV RS is still the flagship and gains some more features as part of the update, but its price has also increased to $64,400.
While Honda should be commended for lowering the price of entry for a hybrid CR-V, the pricing is still a fair bit higher than newer plugless hybrid rivals from China like the MG HS (from $42,990) or GWM Haval H6 (from $40,990 d/a).
Looking at more traditional rivals, the new-gen Toyota RAV4 hybrid starts at $45,990, the Kia Sportage from $44,450, Nissan X-Trail e-Power from $48,915 and Subaru Forester hybrid from $46,490. But remember, these prices are all before on-road costs, whereas Honda’s pricing is inclusive of on-road costs, which can add anywhere from $3000 to $5000. That makes the CR-V more competitive than you might initially think.
For your money the CR-V comes standard with LED headlights and daytime running lights, dusk-sensing headlights, a 7.0-inch digital driver instrument display, dual-zone climate control, keyless entry and start, eight-way power-adjustable driver’s seat, two-tone black fabric seat trim and a retractable cargo cover (not offered on the seven-seat grade).
All grades now get the latest version of Honda Connect which is an app-based system that allows you to remotely lock and unlock the car, as well as remotely controlling climate, lights, the horn and the power tailgate, while also offering car diagnostics, location services and more.
As part of the multimedia setup all CR-Vs now get Google Built-in, which comes with integrated Google Maps, Assistant and Google Play. It also has wireless Android Auto and Apple CarPlay and four USB-C ports.
VTi L grades add black leather-appointed seats, leather-wrapped steering wheel, privacy glass, a ‘Smart’ key card, heated front seats, a 360-degree camera and a 10.2-inch digital driver display which is new to this grade.
The VTi LX adds extra trim flourishes, ambient lighting, DAB+ digital radio, a 12-speaker Bose audio system, auto retractable mirrors (new) and two-tone gloss black 19-inch wheels.
Finally the RS gets unique RS exterior styling, a panoramic sunroof, LED active cornering lights, an extra drive mode, red stitching on the leather-appointed seats and alloy pedals. New to the RS for 2026 is ventilated front seats, heated rear seats, a heated steering wheel and a head-up display.
It’s disappointing to see digital radio only offered in the top two grades when it’s available in $22,000 hatchbacks. And only offering the head-up display in the RS feels cheap, too.
MG made its reputation in Australia by selling some of the most-affordable models on the market, filling the hole left by mainstream brands like Toyota, Hyundai and Mazda as they increased the entry-level prices in their respective line-ups. Something MG itself tried with the HS, QS and U9, as it expanded beyond the once-popular MG3, MG5 and ZS.
The MG4 Urban is a return to form in that sense for MG, with this new small car starting at just $31,990 drive-away. For context, the MG4 Hatch starts at $37,990 drive-away, so this is a much cheaper proposition. That starting price is for the MG4 Urban Standard Range, the Extended Range variant is priced from $34,990 drive-away.
That pricing does not feel accidental from MG Australia, despite what they may suggest when pressed. That’s because the new BYD Atto 2, the direct rival to the Urban, starts at $31,990 plus on-road costs. Even so, BYD has the last laugh, because it offers both the BYD Atto 1, which starts at $23,990, and the Dolphin, which is priced from $29,990 - to undercut the MG4 Urban, even if neither are considered direct competitors.
In terms of specification, both the Standard Range and Extended Range have the same equipment with the exception of the obvious - a bigger battery, and more power from the motor.
Standard equipment highlights include 17-inch alloy wheels, LED headlights and tail-lights, a leather-wrapped steering wheel, PVC seat upholstery, heated front seats, Bluetooth connectivity with wireless Apple CarPlay and Android Auto, in-built navigation and a six-speaker stereo.
Pure petrol powered CR-Vs use Honda’s 1.5-litre four-cylinder turbocharged engine that’s also found in the HR-V and ZR-V SUVs. In the CR-V, it pumps out 140kW of power and 240Nm of torque.
It is paired with a continuously variable transmission (CVT) driving the front wheels only.
The hybrid uses a 2.0-litre petrol engine combined with a hybrid setup and a shift-by-wire E-CVT. The total system output for the hybrid is 135kW and 335Nm. There’s a choice of two front- and two all-wheel-drive hybrid grades.
The CR-V’s power output is less than the RAV4 (143kW) and Forester (145kW), but it offers more torque than the latter (212Nm).
The MG4 Urban Standard Range is powered by a 110kW/250Nm electric motor that drives the front-wheels via a single-speed transmission. The Extended Range has slightly more performance, 118kW and 250Nm, but aside from that they are the same motor.
Fuel consumption for the petrol grades is 7.1 litres per 100 kilometres for the five seat VTi X, while the VTi L7 is a tad thirstier at 7.3L. CO2 emissions for the petrol SUV is 162-167g/km.
Front-wheel-drive hybrids sip 5.5L and all-wheel-drive versions consume 5.7L. CO2 emissions for the hybrids range from 125-131g/km.
Hybrid versions of the Kia Sportage drink between 4.9-5.3 litres, while the new-gen RAV4 sips just 4.5-4.6L. The CR-V is not the most efficient hybrid in the medium SUV segment, but it’s more frugal than most petrol engines.
The theoretical driving range of the CR-V hybrid is close to 1040km, while the petrol CR-V is 804km.
Both powertrains are rated for Euro 6b and they can both drink 91 RON fuel.
The biggest difference between the two MG4 Urban variants is the battery. The Standard Range has a 43kWh battery good for 316km of driving between charging, while the Extended Range gets a bigger 54kWh battery to make it capable of up to 405km.
We didn’t drive the car long enough to get a clear indication of real-world efficiency and range, but it performed well during our drive in suburban Sydney. The steady stop-start traffic gave the battery its best chance to perform well and the early indications are its range is close to claim, at least under the right circumstances. We’ll have to reserve definitive judgement until we’ve had a longer test drive.
What MG was very keen to highlight are the cost savings of buying an EV at a time of sky-high petrol prices. The company made a point that using off-peak electricity, which can be had for just 6c per kW from certain providers, means you can replenish the battery of the MG4 Urban Standard for just $3.44.
It’s been about two-and-a-half years since I attended the CR-V launch and it’s always good to reacquaint yourself with a car, particularly one I was so impressed with.
The CR-V has a few more rivals than when it first went on sale. A lot of them are from Chinese brands. But even with the fierce competition in the segment, the CR-V remains an absolute standout.
Honda didn’t have any petrol grades at the launch, which isn’t surprising given the Japanese carmaker expects hybrids will make up a whopping 85 per cent of CR-V sales by the end of this year.
The two-wheel-drive VTi X e:HEV is the most affordable hybrid grade and it should appeal to a lot of potential buyers. This does not feel like a base grade car in terms of the cabin or how it drives. The cloth seats are the only giveaway that it’s not a higher grade.
Honda engineers have managed to produce something rare - a silky-smooth hybrid system. The company is using the word ‘smooth’ in its TV ads for this car, but for once the ad execs got it right.
The powertrain operates on electric power until highway speeds but the transition to the petrol engine is seamless. If you floor the throttle you’ll hear the engine, but it’s a pleasant note. Certainly more appealing than the sound of Toyota’s petrol-electric hybrid on the go.
Acceleration is brisk enough for a car like this. Not overly quick, but it’s linear and the build up to higher speeds feels natural yet still urgent when required.
There is no whine from the electric CVT, in fact it is virtually unclockable. I don’t love the shift-by-wire transmission buttons. I’m fine with buttons rather than a traditional shifter generally, but it’s the layout of the Honda buttons that’s unnecessarily confusing.
When it comes to ride and handling, the CR-V excels.
The launch drive from Melbourne up through the Yarra Valley to Marysville features some of the best driving roads within an hour or so of the city. A carmaker would only include these roads in a test loop if it was confident of the vehicle’s dynamic ability.
In both two- and all-wheel drive guise, the CR-V hybrid exhibits excellent body control, thanks to a well-balanced chassis. It carves through tight, twisty sections like a car half its size and never feels like it will lose control.
The ride quality is hard to fault. Those roads are littered with shockingly large potholes, the sort that could damage a lesser car. The CR-V eats them up with barely a hint of disruption in the cabin. Given the rough ride of some newer rivals it’s a pleasure to drive a car with such a well-sorted suspension setup.
The cabin is well-insulated from external noise, but that engine note will be evident if you switch to Sport mode and give it a bootful.
There’s an overall feeling of quality behind the wheel of the CR-V. This company has been building cars for 60 years and it shows. I would happily live with a CR-V as my daily drive.
What really stood out about the MG4 Hatch is its rear-motor, rear-wheel-drive layout, which made it a very dynamic and almost sporty car. In my 2023 review I called it “a genuinely enjoyable small car to drive".
The MG4 Urban doesn’t quite leave the same impression. Again, we had only a brief and (appropriately) urban test drive around Sydney’s beachside suburbs, but the MG4 Urban proved competent rather than commendable.
But, let’s be honest, unless you’re looking for driving thrills in the wrong place (affordable, city-focused hatchbacks) the MG4 Urban does the job it is required to do. It’s as nice as any other mainstream hatch to drive from Point A to Point B.
The ride could be a little softer and more compliant, with the suspension feeling too firm at times, but with its electric motor it’s a quiet and relaxed driving experience. The electric motor provides adequate performance too, certainly more torque in less time than you’ll get in a petrol-powered hatch.
Curiously, MG Australia executives said the MG4 Urban was locally evaluated and tuned but could only offer a vague mention of ‘holistic’ changes to better suit it to local conditions, rather than pointing to any specific Australia-developed changes to the suspension, steering or powertrain.
Aside from the addition of a head-up display and 360-degree camera on some variants, post-collision braking is now standard across the range. Not much else has changed on the safety front for the 2026 CR-V.
It does come standard with the main active safety gear such as auto emergency braking, forward collision warning, lane-keep assist, traffic jam assist, blind-spot monitoring, adaptive cruise, traffic-sign recognition, rear cross-traffic alert, driver attention monitor, tyre pressure monitor and a road departure mitigation system.
There’s even an acoustic vehicle alert system for the near-silent hybrids.
It has eight airbags, including a front-centre airbag that helps mitigate against injury between driver and front passenger in the event of a side crash. The curtain airbags reach to the third row in seven-seat versions.
It’s great that Honda now offers a surround-view camera but why not just offer it across the entire model range?
The CR-V still has a four-star ANCAP rating from testing in 2024. Honda has no plans to have the car re-tested.
On the road, Honda’s ADAS calibration works as these systems should. It intervenes only when necessary. You will feel a tug of the wheel if crossing a road marking, but it’s unobtrusive and just works away in the background.
Given how over-the-top systems from rivals like Kia, Hyundai, MG, Chery and Geely are, it’s refreshing.
It may be small and cheap, but that doesn’t mean MG has cut corners on safety. The MG4 Urban comes equipped with the MG Pilot and a suite of active safety features, including adaptive cruise control, autonomous emergency braking, lane keep assist, blind spot monitoring, driver attention monitoring and speed limit notification.
The latter two are the most evident, as they provide a steady soundtrack of beeps as you drive along. Take your eyes off the road for more than a few seconds as the driver attention system fires up, while the speed sign recognition gets busy in Australia’s ever-changing speed limits.
While MG has undoubtedly improved the sensitivity of some of these systems compared to other models, they are still more active than rival products. Perhaps more concerning, the speed limit recognition repeatedly beeped to tell me I was in a ‘25km/h’ zone, which is simply not a recognised speed limit on Sydney roads.
Like so many other brands, MG needs to further refine these active safety systems in order to make the driving experience more relaxed and less distracting.
MG says the MG4 Urban has secured a five-star rating from Euro NCAP, which is expected to be carried over by ANCAP.
Honda’s ownership proposition is solid, thanks to renowned reliability and an extensive dealer network across the country (more than 80).
The CR-V is covered by a five-year/unlimited kilometre warranty.
Yes, that term length looks a bit average by today’s standards when so many have seven and 10-year terms. However, Honda offers an additional three years - bringing it to eight - if you service with Honda dealers.
Nissan and Mitsubishi advertise a 10-year warranty, but it’s conditional, as long as you service with their dealer network. The difference is Honda promotes it as an add-on, whereas Nissan and Mitsubishi splash the 10-year figure first and foremost, with caveats. Honda’s marketing of its warranty just feels a bit more authentic.
Hybrids come with an eight-year battery warranty, too.
The service schedule is every 12 months or 10,000km. That would be more competitive if it was 15,000km.
But the rest of the aftersales offer is excellent. It includes five years of roadside assistance and services are capped at just $199 per visit for the first five years.
The MG4 Urban is covered by the brand’s 10-year/250,000km warranty, as long as you service it at an official MG service centre. If you don’t get your car serviced with the company directly, your warranty reverts to seven-year/unlimited km coverage.
Servicing intervals are every 12 months or 25,000km and will cost you $1366 over the first five years. The cheapest visit is just $149 but the major service, after four years, is a pricey $472, which does push against the idea that EVs are cheaper to service due to less moving parts.