The new Volvo S60 will cost from £23,395.
The car, which company officials describe as the most fun to drive Volvo ever, is being billed as a BMW 3-series rival. It is described by Volvo as a four-door coupe, and is based on an extended Mondeo platform, coupled with S60-specific revisions.
The nearest equivalent 3-series in terms of engine power to the entry-level S60, the BMW 320d Efficient Dynamics, costs £26,680.
There are three engines to choose from: two diesels and a petrol. The 203bhp D5 averages 53.3mpg, while the 161bhp D3 averages 54.3mpg.
The 300bhp 3.0-litre petrol averages 28.5mpg, but hits 62mph from a standstill in 6.5sec.
Standard safety kit includes stability control and Volvo's City Safety system, which acts to brake the car when a potential collision is detected. Options include Volvo’s Pedestrian Detection system with Full Auto Brake, which uses a radar to detect a possible collision, and which can stop the car to a standstill from speeds up to 21mph if it detects a potential impact.
Other standard kit includes climate and cruise control, alloy wheels, and leather trim on the steering wheel and gear lever.
There are three trim levels, which add items including an upgraded stereo, larger alloy wheels, an electrically adjustable driver’s seat, leather-faced upholstery and active bending headlights.
Deliveries will begin in August.