BMW’s fourth-gen 1 Series is no longer just the ‘entry-level BMW’. It’s grown up. The 2025 BMW 118 arrives with fresh looks, a reworked platform, and a seriously boosted tech stack, aiming to blur the line between hatchback and luxury motoring.
And so far, it’s doing more than just talking a big game. According to VFACTS figures, year-to-date sales to the end of May show the 1 Series has jumped from 430 units in the first five months of 2024, to 781 units in 2025 – a solid upswing that now sees it holding 10.2 per cent of the small car over $45K segment.
That puts it ahead of non-EV rivals like the Audi A3, Cupra Leon, and Mercedes-Benz A-Class, and even the ever-popular Subaru WRX. Only the Volkswagen Golf sits higher. Let’s take a closer look to see what’s what.
2025 BMW 118 M Sport: Specifications
Engine: 1.5-litre turbo three-cylinder
Output: 115kW@4900-6500rpm / 230Nm@1500-4600rpm
Gearbox: Seven-speed dual-clutch auto
Drive type: Front-wheel drive
Wheels: F & R: 18×8.0, 225/45
ANCAP: Not tested
Tare weight: 1360kg
Power-to-weight: 11.82:1 (kg:kW)
Official consumption: 6.4L/100km
Our consumption: 7.1L/100km
Fuel tank/Fuel type: 49L/98 RONPower efficiency: 17.96kW:L/100km
0-60km/h: 3.84 seconds*
0-100km/h: 7.95 seconds*
60-110km/h: 5.54 seconds*
1/4 mile: 15.83 seconds at 145.5km/h*
Max acceleration: 0.748g*
100-0km/h braking: 37.86m in 2.99 seconds*
Max deceleration: -1.159g*
Decibel at idle: 40*
Peak decibel at 60-100km/h: 76*
Starting price: $57,600*Figures as tested by Driving Enthusiast on the day. Manufacturers’ claims may be different
2025 BMW 118 M Sport: How much does it cost?
As a base variant, the 118 lands in Australia with the M Sport packaging by default. It retails for $57,600 before on-roads – a price that puts it squarely in the premium hatchback arena alongside the similarly-priced Mercedes-Benz A-Class ($57,500), but more expensive than the Audi A3 ($54,800). But it doesn’t turn up empty-handed. BMW has generously packed the M Sport spec sheet. More on that further below.
It also comes backed by a five-year, unlimited-kilometre warranty – a welcome move that puts BMW in line with other mainstream brands and ahead of some of its Euro rivals. There’s also three years of complimentary roadside assistance for added peace of mind.
Servicing is determined by BMW’s Condition Based Servicing (CBS) system, which monitors individual usage and wear using various on-board sensors. For buyers who prefer to lock in costs upfront, there is a prepaid service plan covering five years or 80,000km priced at $2380. That’s not a shocking figure by premium Euro standards.
2025 BMW 118 M Sport: Interior & packaging
This is where the 2025 118 M Sport sparkles. You’d be forgiven for thinking you’d stepped into a higher-tier BMW – the cabin design, build quality and user experience have taken a giant leap forward.
The showpiece is BMW’s new curved display. It’s a flowing dual-screen setup that merges a 10.25-inch digital instrument cluster with a 10.7-inch central touch-screen running BMW’s Operating System 9. It’s visually stunning and, more importantly, slick to operate.
BMW’s new QuickSelect interface makes navigating menus fast and logical, with vertical tiles replacing the old layered menus. Yes, it’s touch-screen-only for some functions – including climate control – but the learning curve is short, and voice control works well as a backup. Wireless Android Auto and Apple CarPlay also makes connectivity with the screen seamless.
Comfort-wise, the M Sport seats up front are both supportive and plush. They’re power-adjustable, heated, and come with memory settings for the driver. Trimmed in Veganza upholstery (BMW’s premium vegan leather), they feel top-shelf. Optional finishes let you inject some character into the cabin – from bright trims to sportier inserts.
Space-wise, the 1 Series has grown slightly (now 4361mm long and 1459mm tall), and interior packaging makes smart use of it. Headroom and legroom in the back are excellent for a hatch this size. Two adults will fit easily. Only, the door opening space feels slightly smaller than your average hatch.
The boot offers 380 litres of storage, expandable to 1200L with the 40:20:40 folding rear seat down. And it comes with a powered tailgate, which is a surprising inclusion for a small hatch. Whether you’re hauling a week’s groceries or folding down the rear seats for a flat-pack run, the 1er holds its own.
And don’t overlook the small but premium touches; ambient lighting, auto cabin adjustment upon entrance/exit, frameless mirrors, a quality six-speaker sound system, a wireless charging pad, head-up display, and a surround-view camera all contribute to a cabin experience that feels lifted from the segment above. BMW has also been conscious about sustainability. There’s no leather, and the choice of materials and construction feels modern, with solid environmental and tactile appeal.
With respect to safety, you get all the important stuff, like forward collision warning with brake intervention, lane change warning, lane departure warning, blind-spot monitoring, active cruise control with stop and go, rear cross traffic warning, cabin exit warning, active parking assist, reversing assist, telematics, speed limit display and tyre pressure monitoring.
Externally, the 118 M Sport is all class. Not only does it exhibit a modern and sophisticated visual design, it hangs onto a subtle BMW legacy with its kidney front grille. LED lighting, well-placed and subtle design creases, the M Sport’s gloss black areas, and 18-inch alloys all elevate the 118’s appeal. The headlights look sharp with their 3D design and crisp brightness, but they steer away from BMW’s famous twin beam eye glare.
2025 BMW 118 M Sport: Powertrain & handling
Lifting the bonnet reveals a 1.5-litre ‘TwinPower’ turbo three-cylinder petrol engine, delivering 115kW and 230Nm, which is an increase of 12kW and 10Nm over the previous version. It’s mated to a new seven-speed dual-clutch ‘Steptronic’ transmission, sending power to the front wheels only.
Let’s be real, this isn’t a fire-breather. The 0-100km/h sprint takes a claimed 8.5 seconds, although, we tested it in 7.95 seconds. It feels more eager than fast. But what matters more is how it delivers. The three-pot is smooth, relatively quiet, and characterful – especially when worked hard.
Around town, it’s perky and refined, and has plenty of torque early on (max available from just 1500rpm), helping get things moving without feeling like an effort. Then when inspired, the eager sound of the three-pot engine almost makes you feel like you’re making more distance and speed than you have. On the highway, it settles into a low-rev cruise with barely a whisper.
With respect to fuel economy the official average is a reasonable 6.4L/100km. Though, our testing resulted in an average of 7.1L/100km. It’s within the ballpark for efficient small hatchbacks, but does raise questions among many new hybrid alternatives starting to flood the market. And being of European descent with a highly-strung engine, it requires the most expensive 98 RON petrol.
The gearbox is great for a dual-clutch type, offering snappy shifts and it’s intuitive and decisive. Whether you’re creeping in traffic or paddle-shifting down your favourite backroad, it responds without fuss. Low-speed drivability is excellent.
Where the 118 M Sport truly earns its keep is in handling. BMW claims it has worked magic into the chassis, with increased body rigidity, enhanced suspension geometry, and new shock absorber tech. The result is a car that corners with confidence, feels light on its feet, and responds instantly to inputs.
The sports M suspension is particularly well tuned, presenting comfort and absorption on rough roads but it’s tensioned up enough to mitigate body lean. The steering is precise and tightly adjusted to require less movement, giving off a sporty feel. It offers real feedback and a surprisingly meaty feel for an electric setup. BMW also explains that you might notice the extra caster angle (up by 20 per cent), which adds to directional stability and confidence through long sweepers.
Front-wheel drive sceptics might grumble, but the truth is this; the 118 M Sport handles better than many rear-driven compacts from just a few years ago. It feels more playful and composed than it has any right to – and that’s what makes it so compelling.
2025 BMW 118 M Sport: Key attractions/reasons to buy
- Technology: Operating System 9, digital key and personal eSIM connectivity, large curved dual displays, and a full suite of driver assists – this is a tech-lover’s dream.
- Premium cabin ambience: From the Veganza leather, heated electric front seats, the M Sport trim, ambient lighting, to the comfort access auto adjustment, this feels like a true BMW inside.
- Composed and engaging handling: The chassis and suspension upgrades that come by default in the M Sport give the 118 sharp responses and tight steering without sacrificing ride comfort.
- Generous standard equipment: BMW has included features that would usually be optional in premium Euro classes.
2025 BMW 118 M Sport: Key considerations before you buy
- Front-wheel drive: It handles beautifully, but die-hard rear-wheel drive fans may still struggle with the driveline change.
- Touchscreen-only controls: BMW’s move to digital climate and function controls may frustrate those who prefer physical knobs and buttons. Even though the menu is precise and quick to learn, it won’t win them all over.
- Price pressure from larger models: At $57,600 before on-roads, you’re nudging 3 Series territory.
- Fussy diet: The 118 M Sport demands only Australia’s top of the range 98 RON petrol, which adds up running costs quickly.
2025 BMW 118 M Sport: Video
How does it rate against its rivals?
- Price
- Quality look & feel
- Interior tech
- Powertrain performance
- Ride & handling
- X-factor (does it stand out in its class?)
Final word
This isn’t the poor cousin of the 3 Series anymore. It’s a smart, tech-packed, fun-to-drive premium hatch that finally lives up to the badge on its nose. It won’t thrill speed demons, but for those seeking everyday luxury, clever tech, and a truly enjoyable drive, the latest 1 Series is impossible to ignore.
