MG3 hybrid review: budget hatch hit with big price rise

This cut-price Chinese hatchback has been a popular choice for cash-strapped buyers, but the much improved new model is much more expensive.

If you get what you pay for, this new MG3 Hybrid should be twice as good as the basic original hatch.

It is significantly more sophisticated than the outgoing car but it needs to be, given price increases approaching $10,000.

The original MG3 was a success story we were not able to tell properly.

There’s no doubt Australia’s cheapest car was a hot seller, finding more than 60,000 customers to leave rivals such as the Toyota Yaris, Mazda2 and Suzuki Swift in its dust.

It was helped by inflated used car values, which made a new MG3 cheaper than many second-hand cars from rival brands.

The new model is a huge step up from its cheap and cheerful predecessor. Picture: Thomas Wielecki.

But it achieved success without any critical acclaim, as the car was not available for media test drives.

It also had no safety rating as there was little incentive for MG to provide cars for independent crash tests.

We took the original MG3 for a spin before driving the new one, and were not impressed by its coarse engine, basic four-speed auto transmission and an interior that felt at least a decade old.

Then again, buyers were lured by the prospect of a new car with a seven-year warranty for the price of a five-year-old used Toyota Yaris with zero guarantees.

The new MG3 is a different proposition entirely.

The new car costs thousands of dollars more than the previous one. Picture: Thomas Wielecki.

Forget about sub-$20,000 drive-away deals – it costs thousands more than before.

The car has a more modern looking cabin with a digital dash and wide-screen infotainment system. It benefits from a much more comprehensive list of safety features, including auto emergency braking, active cruise control, blind-spot monitoring and rear cross-traffic alerts.

There is even a hybrid option.

Priced from $23,990 plus on-road costs (about $28,000 drive-away) in standard trim, it costs about $9000 more than the outgoing entry-level model. That’s a huge jump at this end of the market.

Basic models have halogen headlights, a reversing camera, 7-inch driver display and a 10.25-inch infotainment screen with smartphone mirroring.

The cabin is modern and well equipped. Picture: Supplied.

Customers can upgrade from the standard “Excite” to the better-equipped “Essence” for $2000, adding tech such as LED lights, a 360-degree camera, digital radio and sat nav.

It also brings a sunroof, vinyl trim and a leather-wrapped steering wheel.

The standard 1.5-litre petrol MG3 uses a claimed 6L/100km of regular fuel to make 81kW and 142Nm.

Hybrid power attracts a $4000 premium in exchange for a 75kW/128Nm engine paired with a 100kW electric motor capable of sending a combined 155kW to the front tyres.

A fully-loaded hybrid costs $29,990 plus on-road costs, roughly $35,000 drive-away.

That's more than double the price some MG3 customers paid for the original.

The new hybrid uses a claimed 4.3L/100km of fuel, but you have to pay extra for premium unleaded.

The new model is better to drive. Picture: Thomas Wielecki.

Servicing for the hybrid ($2045 for five years) is also dearer than the petrol equivalent ($1854).

It makes a strong first impression, thanks to a thoroughly modern cabin that feels a world apart from last year’s model.

But there are shortcomings, including a lack of reach adjustment for the steering wheel and a back seat that folds as a single piece, as opposed to the more convenient split-fold arrangement found in most new cars.

The hybrid system works well at low speeds. It’s smooth, quiet and effortless in town.

It’s impressively rapid for a car in this class. MG reckons it needs just eight seconds to reach 100km/h.

The performance of the hybrid is inconsistent. Picture: Thomas Wielecki.

But performance can be inconsistent.

A test drive on country roads exposed a sudden drop in power that occurs when the high voltage battery is depleted. It almost feels as though a passenger accidentally pulled the handbrake on, or knocked the car into neutral.

The MG suddenly drops from more than 100kW of combined power to less than 50kW, halving its output in an instant.

There are other hiccups in the drive experience.

The four-wheel disc brakes feel wooden, the steering is uncharacteristically slow and there is more body roll than you should expect from a car this size.

Light cars are often fun to drive, but this one isn’t particularly endearing.

Then again, the old MG3 was immensely popular despite its flaws.

MG3 HYBRID ESSENCE

PRICE: About $35,000 drive-away

ENGINE: 1.5-litre 4-cyl hybrid, 155kW

WARRANTY/SERVICE: Seven years/unlimited km, $2045 for five yrs

SAFETY: Six airbags, auto emergency braking, active cruise control, lane keep assist, blind-spot monitoring, rear cross-traffic alert

THIRST: 4.3L/100km

CARGO: 293 litres

SPARE: Space saver

VERDICT

Three stars

MG’s brave push up-market results in a better – but still flawed – car. Higher prices will test its relevance.