BMW has taken the wraps off what may be the ultimate user-chooser car – the new M3.

Powered by a 4.0-litre V8 engine producing 420bhp, the M3 will accelerate from 0-62mph in under five seconds yet will return 23mpg on the combined cycle.

It also uses the Brake Energy Regeneration system, which was recently launched on the 1 Series.

The M3 goes on sale in September, with a pricetag likely to be around £50,000.