Lexus LC500H vs MG MG4 Urban

What's the difference?

A truly fuel-efficient performance car, who’d have thought? There are some obvious trade-offs for trying to exist in two seperate worlds, but the Lexus LC 500h largely handles its dual roles with aplomb.

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.

It's a little curious, the LC 500h. For mine, it's stunning from a distance. All gleaming alloys and bulging rear arches and sharp snout angled downward like its caught the scent of its prey.

But weirdly, it can start to look a little less impressive the closer you get to it - a little swollen and vague in its lines. It's very likely it's eye-of-the-beholder stuff (fellow CarsGuide scribe Richard Berry adores it from every angle, for example).

Inside, the front of the cabin is a busy but stylish space, with multiple textures layered on top of each other to produce a premium-feeling, sporty space. The low-feeling dash juts out, giving the front passengers an ensconced, cockpit feel.

Everything is predictably leather-wrapped and lovely, and while it's not as streamlined as, say, an Audi interior, it's not without a genuine sense of Japanese charm in the cabin.

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.

It's not really. Especially in the backseats, which would make more sense if they were painted on. I'm no giant, but even my 175cm-tall head was pushed into the ceiling, and while there’s ample shoulder space for two adults, you’re unlikely to be able to convince two to get back there. 

Lexus has included something called the "Easy Access" function for 2020, which sees the front seats slide forward automatically to help with accessing the rear seats, and they do lower the Cirque du Soleil antics required to get back there, but this realistically not a car for carrying more than two adults, save an emergency. There are two ISOFIX attachment points in the rear, so child seats can be locked in there. 

That's not necessarily a drawback, though. This is a two-door sporty coupe, after all, and elsewhere, the sizeable dimensions (4770mm length x 1920mm width x 1345mm height) provide plenty of space for up-front riders.

You'll also find hidden cupholders, bottle holders in the doors, and all the power and connection points you need. 

A word on the tech, though. The LC 500h is crying out for a touch screen, though the brand's traditional mousepad system is improving.

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.

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.

The LC 500h is powered by a hybrid setup that combines a 3.5-litre V6 engine with a 650-volt "Lexus Hybrid Drive" system and a lithium-ion battery. That setup delivers 264kW of power, and somewhere north of 350Nm in torque when the engine and motor outputs combine.

That power is sent to the rear wheels via a CVT automatic, and will produce a sprint to 100km/h of around 5.0 seconds. 

According to Lexus, 10 clear improvements were made the way the 2020 LC 500h drives, including a new transmission tune, more structural bracing added for rigidity, new suspension components and spring rates, and altered stabiliser bars. 

Has it made a difference? Read on. 

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.

Lexus says the LC 500h will sip 6.8 litres per hundred kilometres on the combined cycle - very impressive for what is ostensibly a performance coupe - and emit 152g/km. 

The LC 500h is equipped with an 82-litre fuel tank. 

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. 

There’s something very strange about hitting the start button in what is ostensibly a sports car, and being greeted not by the bark of an exhaust, but by the gentle whirring on the car’s electronics coming to life.

But then, the Lexus LC500h is not your average performance car.

It essentially trades the out-and-out grunt of its V8-powered sibling (which produces a monstrous 351kW and 540Nm) for a kind of best-of-both-worlds approach that pairs the punch of the V6 engine with the fuel efficiency of a hybrid powertrain. 

If that sounds like an compromised approach to pure performance, you're right. But reframe the way you look at the LC 500h and it all starts to make a bit more sense.

Remember, this isn't a track-attack weapon, but a potent on-road bruiser, and the flow of power on offer always feels ample, and you never want for too much more off-the-line pace on public roads. 

Among the biggest selling points of the LC 500h is the sheer distance between its various personalities. Engage Eco, or even Normal, drive modes, and it’s a quiet, mostly very comfortable (though it can be unsettled by bigger bumps) kilometre-eater, but engage Sport or Sport Plus and it rightly transforms into something significantly angrier.

It might not be the absolute sharpest tool in the performance car shed, but the LC 500h does bristle nicely when those modes are engaged, the hybrid factor seemingly replaced by a satisfyingly meaty exhaust note and an accelerator that’s suddenly far more sensitive to the touch.

The steering feel is nice and the inputs direct, but there is something about the car’s 1980kg weight that doesn’t inspire the deepest of confidence, at least not on the rain-slicked roads we were travelling along .

A pure performance coupe? Perhaps not. But a sporty, stylish and, when you want it to be, comfortable cruiser with the ability to turn the volume up when you come across a twisting road? Bingo.

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.

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. 

So, to ownership. Let's start with the basics first, before we move onto the new Encore Platinum benefits. 

The LC 500h is covered by a four-year/100,000km warranty, and servicing (capped for three years at $595 a pop) is required every 15,000km.

You will know already the Lexus's stellar Encore ownership program includes handy features like valet (pick-up and drop-off) servicing, but the new Encore Platinum level for owners of its more exclusive models unlocks some seriously cool stuff. 

One is a new On Demand service, which allows owners to book a different style of car when heading off on a holiday or business trip. So, say you own the LC 500h, but want to take the family to the snow and need a seven-seat 4WD like the RX L, then Lexus will lend you one at no charge, which you can keep for eight days.

The loans are available in your state or somewhere else in Australia if you're travelling, with your car waiting for you at Qantas Valet for you when you arrive. 

The One Demand service is available on four occasions over your first three years of ownership (which is also the length of the Encore Platinum membership). 

The Platinum level also provides eight examples of free valet parking at select shopping centres, as well as hotel and restaurant benefits, and invitations to Lexus' drive days around the country.

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.