Volvo has expanded its XC40 premium compact SUV range, strengthening the appeal of the reigning European Car of the Year with new powertrains and trim levels.

The new powertrains are led by the debut of the much-anticipated T3 petrol, Volvo’s first ever three-cylinder engine. The latest addition to Volvo’s Drive-E engine family, the T3 is ideally suited to the XC40’s role as a nimble and efficient, urban-friendly vehicle. The compact, 1.5-litre, direct-injection unit develops a healthy 156hp at 5,000rpm and is matched to a six-speed manual transmission. An eight-speed automatic option will be introduced at a later date.

There’s no shortage of pulling muscle from the XC40 T3, with 265Nm of torque available from 1,850 all the way to 3,850rpm. This helps support a towing capacity of up to 1.6 tonnes with a braked trailer. Acceleration is equally impressive for an entry-level petrol engine, with 0-62mph dispatched in 9.4 seconds.

Against this lively performance, benchmark efficiency figures reveal combined cycle fuel economy of up to 45.6mpg and CO₂ emissions from 144g/km.

The XC40 line-up has further grown with the addition of the well-proven 2.0-litre, four-cylinder T4 petrol and D3 diesel engines. The 190hp T4 comes with all-wheel drive and an automatic transmission as standard, while the 150hp D3 offers both manual and automatic options, the latter with the added choice of front- or all-wheel drive. The established 247hp T5 petrol and 190hp D4 diesel complete the engine line-up, both with all-wheel drive and an automatic transmission.

Jon Wakefield, Managing Director of Volvo Car UK, said: “The XC40 is the ideal recipient of the new T3 engine, a unit that demonstrates Volvo’s commitment to innovative engineering and technology that prioritises compact packaging without compromising performance and efficiency. Together with the other powertrain additions to the line-up, it gives us a comprehensive model range that will help the XC40 achieve its full market potential.”

The XC40 range also now offers a full spectrum of equipment grades: Momentum, R-Design and Inscription, each with an optional ‘Pro’ upgrade.

The standard equipment featured on Momentum models reflects Volvo’s progressive connectivity, entertainment and safety innovations, with features such as the Sensus nine-inch touchscreen control for multiple on-board functions and easy smartphone connectivity, satellite navigation, automatic LED headlights with Active High Beam, 18-inch alloy wheels and a dual-zone climate control system that monitors and maintains cabin air quality. The Volvo On Call remote control and emergency assistance service is also provided as standard, together with keyless start, rear parking sensors, cruise control, automatic windscreen wipers and integrated roof rails.

R-Design models are distinguished by exterior features such as a Black Stone roof and door mirrors, high-gloss black grille, front and rear skid plates, roof rails and window frames, dark-tinted rear windows, integrated dual tailpipes, and alloy wheels with a striking diamond-cut and matt-black finish. The sporty theme continues inside with R-Design tread plates, black headlining, sports pedals and a perforated leather wrapping for the steering wheel and gear knob. Equipment features include leather and Nubuck upholstery, front seat cushion extensions and LED front fog lights. The R-Design also gets more dynamic suspension settings than other XC40s, including stiffer springs, thicker anti-roll bars and faster-acting rear shock absorbers.

The Inscription specification builds on the Momentum grade with contemporary luxury items including Driftwood cabin inlays, leather-faced upholstery, a power-adjustable driver’s seat, ambient door and instrument panel lighting, and a powered tailgate. An Orrefors crystal glass inset adds a special quality to the gearshift lever on automatic versions. Front parking sensors, matt silver skid plates and chrome grille inserts are also part of the package.

The Pro versions of each grade introduce further comfort and convenience elements, including heated front seats, larger-diameter wheels (on R-Design Pro and Inscription Pro models), active bending headlights, LED front fog lights with cornering function, and a heated windscreen.

A wide range of option and accessory packs are available for customers to individualise their XC40. All models are available with the Intellisafe Pro pack, which includes Volvo’s pioneering Pilot Assist driver-assistance system. This provides steering, braking and acceleration control to help keep the car within its lane, and at a set speed or a safe distance from any vehicle ahead.

The full XC40 range, extending to 38 different combinations of engines, equipment grades and transmissions, is on sale now, with on-the-road prices ranging from £27,610 for the T3 Momentum manual to £37,620 for the T5 Inscription Pro automatic.