The Volvo XC60 has long been one of the brand’s most important models, and its most successful. Since its debut in 2017, it has been Volvo’s top-seller globally, with more than 1.5 million units delivered. That momentum is set to continue with the latest update, which brings lightly refreshed styling, new materials, and a significantly overhauled infotainment system built around Google integration.
In Australia, the XC60 sits in the competitive premium mid-size SUV class, going head-to-head with heavy hitters such as the Audi Q5, BMW X3, and Lexus NX.
After spending time in the 2026 XC60 B5, it’s clear the Swedish contender still carves out its own distinctive identity. It might not be the most powerful or the most economical, but it delivers one of the calmest and most refined driving experiences you’ll find in this class.
2026 Volvo XC60 B5 Ultra: Specifications
Engine: 2.0-litre turbo four-cylinder mild-hybrid
Output: 183kW@5400-5700rpm / 350Nm@1800-4800rpm
Gearbox: Eight-speed auto
Drive type: All-wheel drive
Wheels: F & R: 20×8.0, 255/45
ANCAP: Five starsTare weight: 1835kg
Power-to-weight: 10.02:1 (kg:kW)
Official consumption: 7.6L/100km
Our consumption: 7.6L/100km
Fuel tank/Fuel type: 71L/95 RON
Power efficiency: 24.07kW:L/100km
0-100km/h (claimed): 6.9 seconds
Starting price: $81,990
2026 Volvo XC60 B5: How much does it cost?
Four main variants of the 2026 XC60 are available in Australia, including the Plus and Ultra trim level and both offered with either the B5 mild-hybrid or T8 plug-in hybrid powertrain. Prices start from $74,990 for the entry B5 Plus and top out at $101,990 for the T8 Ultra (excluding on-roads).
Those prices are quite attractive considering many of the rivals are around $10k north, or more. Here, we’re testing the B5 Ultra, starting from $81,990. It might be the pick of the bunch as it presents a neat level of luxury while remaining at an attainable cost.
2026 Volvo XC60 B5: Interior & packaging
The first thing you notice inside is the sheer sense of calm. Volvo has long championed interiors that prioritise relaxation, and this latest version is no exception. It feels like a sanctuary; airy, uncluttered, and meticulously detailed.
Up on the dash is a new 11.2-inch infotainment touch-screen, and it’s more than just an upgrade in size. Running on Volvo’s new Snapdragon-powered system with a Google backbone, it is faster and far more responsive than before.
Voice command by Google Assistant is among the best on the market. You can adjust the climate, set navigation, or control audio just by speaking naturally, and the system understands commands that would confuse many rivals. You can even ask it random questions, like Siri, as it is connected to Google.
Material quality also stands out. Volvo has leaned into premium touches without overdoing it – quilted Nordico upholstery, fine veneers, and details like the new crystal gear selector help elevate the sense of craftsmanship. It’s the sort of environment where you’ll notice the small things, like the design of the air vents or the precision of the stitching.
Passenger space is generous for this class, both front and back. Rear occupants enjoy ample legroom and headroom, while the seats themselves provide excellent long-distance support. You’ve also got rear climate vents and available climate control in the back.
Storage is practical too, with improved cupholders, compartments front and back, and a decent boot presenting 505L/1432L – not the largest in the class but there are some tie-hooks, a netted side pocket, and a 12V socket on the wall.
Noise suppression has also been improved. Even at highway speeds, the cabin remains quiet, isolating you from wind and road noise. The effect is an almost lounge-like calmness, particularly when listening to the optional Bowers & Wilkins audio system, which is one of the finest car audio setups you’ll see in this class.
The main drawback of the cabin is that Volvo, like many premium brands, has continued the trend of reducing physical buttons and merging everything into the touch-screen. Climate and media controls are largely on-screen, or via the fiddly steering wheel buttons. But again, you can use the voice command. Even so, traditionalists might miss actual buttons and dials.
2026 Volvo XC60 B5: Powertrain & handling
Going for the B5 setup gets you a 2.0-litre turbo-petrol four-cylinder engine paired with mild-hybrid assistance. Outputs stand at 183kW and 350Nm, sent through an eight-speed automatic to all four wheels.
On paper, those figures aren’t class-leading. Volvo claims 0-100km/h in a respectable 6.9 seconds, which, again, isn’t the most brisk in this class for this sort of power level, but this powertrain is pleasantly smooth. Low-end torque is strong, helped by the 10kW/40Nm starter-generator, making for easy urban driving.
The mild-hybrid system is subtle. It doesn’t deliver an electric-only mode like a plug-in hybrid, but instead helps smooth out stop-start traffic and assists during low-speed acceleration. It also provides a seamless engine stop-start function, firing up the engine after you’ve started to move with no joltiness or any sudden change.
On the official combined cycle, fuel consumption is rated at 7.6L/100km. That’s pretty good for this level of power and acceleration, but again, behind some of its (often more expensive) rivals. Lexus, for example, offers hybrid powertrains that dip closer to 6L/100km, and BMW’s latest diesels can be both more efficient and faster.
On the road, the XC60’s suspension tuning leans toward comfort rather than outright sportiness, and that’s exactly as it should be. The ride quality is excellent, soaking up bumps and road imperfections with composure. Even with these 20-inch larger wheels on the Ultra, it never feels unsettled.
That’s not to say it can’t handle itself on a winding road. Steering is light but precise, and the chassis remains balanced and predictable. Push harder and it won’t deliver the sharpness of a BMW X3 or Alfa Romeo Stelvio, but it feels secure and composed, with just enough engagement to be enjoyable. For the majority of buyers in this segment, that balance of comfort and controlled handling will be ideal.
2026 Volvo XC60 B5: Key attractions/reasons to buy
- Cabin calmness: One of the most serene and relaxing interiors in the class.
- Superb infotainment: The new Google-powered system is fast, easy to use, and voice command is industry-leading.
- Premium details: From the crystal gear selector to high-quality trims, craftsmanship is excellent.
- Seat comfort: Front and rear passengers enjoy supportive, long-distance-friendly seating with adequate room.
- Price: Compared with some European rivals which have become ridiculously expensive, the XC60, particularly in B5 form, is a bargain. And yet it’s not some cut-price special; this is a genuine premium product.
2026 Volvo XC60 B5: Key considerations before you buy
- Performance: B5 mild-hybrid is smooth but not as quick as some rivals with similar power, and some offer better efficiency while also offered superior acceleration.
- On-screen controls for almost everything: Reduction of physical buttons means some functions are fiddlier to use on the move. Although there is voice command.
- Not the most dynamic handling: It is comfortable and compliant, but driving enthusiasts mights prefer sharper rivals.
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
In a segment dominated by German rivals, the XC60 offers something refreshingly different. It’s not about being the sharpest to drive or the most powerful. It’s about absolute calmness and a beautifully-built cabin that makes every journey less stressful. For many buyers, that will be exactly what they’re looking for.
