The Volvo S60 T5 R-Design Edition has been given a class-leading residual value forecast by Cap HPI.

The pricing experts have forecast that the mid-size saloon will be worth 39% of its original value of £37,920 after three years and 60,000 miles.

By comparison, the Audi A4 40 TFSI Black Edition has a residual value figure of 35%, the Mercedes-Benz C300 AMG Line is rated at 34%, with the BMW 330i M Sport again matching the S60, at 39%.

After three years and 30,000 miles, the Volvo will retain 46% of its original new price, while the Audi will keep 42%, the Mercedes-Benz 40% and BMW 46%.

Jonny Miller, national leasing and residual value manager at Volvo Car UK, said: “In the leasing sector, whether for private or business drivers, residual values have a significant impact on lowering monthly costs.

“We’re delighted that the dynamic new S60 has been forecast to hold its value so well.”

The S60 makes its debut in UK showrooms on May 11, with first customer deliveries expected later that month.