What's the difference?
Long the domain of first-car buyers and suburbanites winding down on their driving years, the Toyota Yaris is now hybrid-only, and is a far cry from the $15,000-or-so cheap and cheerful staple it once was.
But with its fourth generation a few years into its lifespan, the Yaris is trying to be more than just a basic A-to-B runabout. In fact, the ZR we have on test is more expensive than an entry-grade Volkswagen Polo.
Does more than $30,000 of light hatch really feel worth it once you’re behind the wheel, or are you better off pocketing almost $10,000 to save on one of the thinning pack of rivals?
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 Toyota Yaris is as much car as many people should really need, and it's a refreshing antidote to the largely unnecessary shift towards SUVs as the ‘default vehicle’.
In the case of the ZR grade, the pricing could understandably be a reason you might consider an SUV instead. There are plenty of options for a similar price.
The problem with an SUV though is it will likely be less efficient and, due to physics, less agile and fun to drive.
Given the price and the fact that a couple of features are missing, the ZR probably isn't the variant to go for, but the Yaris is an overall solid foundation for a very convincing hatchback.
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.
The Yaris’ best selling point could very well be its looks. While there are a lot of differences between the ZR and the bespoke GR Yaris hot hatch, they do look similar, especially from the rear.
Any small car like this is going to have an element of ‘cutesy’ about it, but the Yaris does well to look like a more sporting car than its rivals.
The grille is the only big design change Toyota made as part of its most recent update in early 2024. It's a new design that’s finished in partial dark chrome for the ZR.
At the rear, the ZR gets a spoiler above the rear window, helping it look a little more like its Gazoo Racing cousin, as does the block of black trim flanked by the tail-lights and the ‘Yaris’ and ‘ZR’ badges.
Even its front lower bumper would look reasonably at home on a more powerful car if the plastic trim at the sides had actual air vents rather than being closed off.
Inside, things are less exciting. The ZR’s interior seems plasticky and its grey cloth seats do nothing to make the space feel premium.
The ‘two-level’ look on the dash and the arrangement of the multimedia screen and climate controls below it feel outdated, but the cabin is (perhaps more importantly) clear and functional.
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.
For all its grey trim, the Yaris actually proves a very usable space for its size. The two front ‘sports’ seats are quite comfortable with decent bolstering.
The steering wheel is nicely shaped, and big clear buttons (like most of the cabin) mean controls for all the car’s functions are obvious.
The digital driver display is customisable in terms of its style, but the information you might need is easy to find and not distracting while you’re trying to concentrate on the road. The head-up display also helps there.
The physical climate control panel isn’t exactly ‘pretty’ but it’s infinitely better than needing to navigate through the screen above.
That screen itself is also easy to use. Toyota’s multimedia systems can feel outdated but the upside is there aren't loads of submenus to get lost in.
Storage is well covered: two cupholders are out of the way of elbows, plus a little storage space behind that between the front seats. There’s a small space behind the gear shifter for a phone, a couple of small 'shelf' spaces above and in front of the passenger, and there are decently spacious door card places for water bottles and the like.
In the second row, behind my own (178cm) seating position, ‘spacious’ is less applicable. It’s not surprising that the second row in a light hatch would be a little tight for an adult, but it’s not restrictive and some kindness from the front passengers could see the back seats become a comfy place for a sub-60-minute trip.
There’s no centre armrest, but each door has a water bottle holder and the aforementioned storage spot between the front seats is accessible from the second row.
Behind the rear seats, there’s a 270-litre boot which is decent for its class. The non-hybrid Mazda2, for example, has 250L.
The boot floor can be lifted to sit flush with the seats when folded down, and underneath there is a space-saver spare tyre, which is a huge plus.
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.
In the grand scheme of new-car pricing, $34,530 before on-road costs doesn’t sound like a lot of money. That’s how much the Yaris ZR is new.
But compared to other top-spec trims in rival models, it’s one of the most expensive in its class.
It battles the Mazda2 ($28,190 for the top-spec GT), Suzuki Swift ($29,490 for the Hybrid GLX), MG3 ($32,819 for the Essence Hybrid+) and VW Polo ($34,790 for the Style). Only the Polo is more expensive as its top-level variant.
Regardless of the size of the car, the Yaris ZR is missing a couple of extra things that could make it feel properly top-of-the-range.
It’s not missing the essentials though. After an update in early 2024 it comes with a decent 8.0-inch multimedia display, wireless Apple CarPlay and Android Auto, plus an adequate six-speaker sound system.
On top of those Yaris standards, the ZR gets a 7.0-inch digital driver display, keyless entry, a head-up display, 16-inch alloy wheels, automatic air-conditioning with an air purifier and ‘premium cloth fabric’ for the sports-style seats.
It could do with a wireless phone charger and perhaps even leather seats - the latter available in the more affordable Mazda2 GT. Cloth seats and a cable to charge your phone don’t feel very ‘top-spec’. There are, however, two USB-C charging ports for doing so.
Premium paint colours (anything that’s not Glacier White) are $575, while the two-tone look with the black roof (available with Coral Rose, Bronx Bronze and Massive Grey) is $775. Our test car is Massive Grey with the two-tone black roof.
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 Toyota Yaris is a hybrid-only offering, with all variants powered by a 1.5-litre three-cylinder petrol engine that makes 67kW/120Nm and a 59kW/141Nm front motor-generator.
Toyota quotes a combined output of 85kW and doesn’t specify a total torque figure.
The electric motor draws power from a 4.3Ahr lithium-ion battery and is able to drive under electric-only power at low speeds.
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.
Toyota claims a 3.3L/100km fuel economy figure under the combined WLTP cycle, and says it produces 76g of CO2 per kilometre.
With its 36-litre fuel tank, theoretically the Yaris should be able to travel almost 1100km on a single tank, though even Toyota admits the 3.3L/100km fuel economy figure was obtained in a lab (as is usually the case) and doesn’t reflect real-world driving.
For reference, on test the Yaris ZR didn’t display a fuel economy figure of more than 5.0L/100km during reasonable standard driving conditions.
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.
A series of factors that make the Yaris an excellent car for the inner-city also happen to make it engaging from behind the wheel.
Its small footprint and relatively low kerb weight are key to this, but it's also built on Toyota’s excellent TNGA platform which, in one form or another, underpins most of the brand's line-up.
It means the Yaris has characteristics that align with other Toyotas - it feels related to a Camry or a RAV4, even if it doesn't behave in the same way physically.
The Yaris is understated in how it behaves on the road during regular driving, quietly switching between hybrid and electric mode, rarely letting the engine get coarse unless you put your foot down for more power.
And while the Yaris isn't quick by any means, there's just enough urgency to get you out of trouble should you need it. It's not a drivetrain that encourages spirited driving, but if you should choose to do so you'll find some surprising capability in the way the Yaris is set up.
Steering that feels light and accurate day-to-day is handy when it comes to steering the Yaris quickly on twisting roads, and the platform underneath does well to keep the light hatch and its short wheelbase in check.
It doesn't feel like it's ready to 'bounce’ off bumps and uneven road surfaces like some similarly sized hatches did even a generation or two ago, and while one wouldn't imagine the Yaris hybrid is choice number one for a weekend driver, there's still fun to be had.
But in urban environments the Yaris is in its element, and its efficient engine and small footprint make it ideal for inner-city traffic and parking.
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.
The Yaris ZR is pretty well stocked when it comes to safety features, more so than the lower variants in the range. Great for the ZR, a bit of a let-down for the others.
It comes with all the necessary kit including auto emergency braking (AEB) with a pre-collision safety system that “recognizes motorcycles and oncoming vehicles in addition to cyclists, pedestrians and vehicles ahead”.
It also has daytime intersection collision avoidance, daytime emergency steering assist, active radar cruise control and lane trace assist, auto high beam, road sign recognition, blind spot monitor, parking support, safe exit assist and a rear parking camera with parking sensors at the front and rear.
The Yaris also has eight airbags, which is a decent count for a light hatch. There are also ISOFIX points on the rear outboard seats.
In 2020 ANCAP tested the Yaris for a five-star result, though that result expires in December 2026 and the testing criteria has since changed to become stricter.
If you’re a driver who prefers minimal technological intervention (read: beeps and bings or the steering nudging you around) the Yaris’ safety kit does a very good job of remaining in the background unless it’s really needed.
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.
Toyota offers a five-year/unlimited kilometre warranty which covers the Yaris, as well as capped-price servicing for the first five years/75,000km - whichever comes first.
Intervals are 12 months/15,000km for servicing and each costs $250.
If servicing is undertaken at Toyota dealerships, Toyota extends the engine and driveline warranty from five to seven years. It also increases the hybrid battery warranty to ten years “as long as you undertake your annual inspection as part of routine maintenance according to the vehicle logbook”.
There’s also seven years of conditional emergency assistance related to car hire or towing expenses while Toyota is maintaining the car.
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.