JAGUAR has undercut rivals BMW and Mercedes-Benz in launching its new S-type, revealed to the world at the Motor Show in Birmingham. Pre-launch prices, which are unlikely to change significantly before launch next spring, start from £28,300 on-the-road for the base 3.0-litre V6 model, pricing it aggressively against the BMW 528i, which costs £30,880, while the 535i costs £36,890.

The Mercedes-Benz E280 costs between £33,480 and £35,600 depending on choice of Classic, Elegance or Avantgarde specification. The E320 costs between £36,730 and £38,850. Standard equipment on the 240bhp base S-type model includes anti-lock brakes, front and side airbags for driver and front passengers, power steering, traction control, five-speed manual gearbox, alarm, climate control, a 60/40 divided rear seat (the first time this has featured in a Jaguar), electric seats, heated mirrors, window and a trip computer.

The £33,150 V6 SE costs £33,150 and adds a five-speed automatic gearbox (the manual is a no-cost option), front fog lamps, heated front windscreen as a no-cost option, cruise control, electric sunroof, electric lumbar support in the seats, which gain leather trim, a memory pack for steering, drivers seat and mirrors, and a wood/leather steering wheel. The gearknob gets leather in the automatic. For the top of the range 4.0-litre V8, the cost will be £37,600, with no change in equipment from the SE.