2025 BMW 1 Series Hatchback Arriving in Australia with Price Hikes

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The 2025 BMW 1 Series hatchback is set to arrive in Australian dealerships by the end of this year, featuring significant updates including a new design and additional standard equipment. However, this comes with a price increase of up to $5900. The entry-level model now costs $13,510 more than the previous version did at its launch five years ago, reflecting several price hikes that occurred during the COVID-19 pandemic—some of which did not include additional features.

2025 BMW 1 Series

Although BMW promotes the 2025 1 Series as a new-generation model, it essentially represents a substantial facelift built upon the existing platform. The new lineup will include two variants: the front-wheel-drive 118 and the all-wheel-drive M135 xDrive hot hatch. The 128ti model has been discontinued. Notably, the 1 Series will be the first modern petrol BMW to drop the 'i' from its model names, with the 'i' designation now reserved for electric BMW vehicles.

The 118, previously known as the 118i, comes with a host of new features, including adaptive cruise control, adaptive LED headlights, black exterior trim, heated front seats, a power tailgate, tyre pressure monitoring, and automated parking. The M135 variant, in addition to many of these features, gains premium upgrades such as massaging front seats, a heated steering wheel, lane-centering assist, active lane-keeping assist, front cross-traffic alert, and Harman Kardon audio.

BMW 1 Series

Both variants benefit from an updated interior that includes larger screens running the latest software. The 118 is powered by a 1.5-liter turbocharged three-cylinder engine producing 115 HP and 230 Nm of torque. This engine is paired with a seven-speed dual-clutch automatic transmission that drives the front wheels. Although this engine is similar to the 120 variant available in Europe, it lacks the 48-volt mild-hybrid system found in the European model. The mild-hybrid system in Europe provides a 15 HP and 55 Nm boost during hard acceleration and allows the engine to shut off for coasting at cruising speeds. The Australian version of the engine also delivers 10 Nm less torque compared to its European counterpart before the mild-hybrid boost.

The M135 xDrive is equipped with a more powerful 233 HP and 400 Nm 2.0-liter turbocharged four-cylinder engine. While this represents an 8 HP increase over its predecessor, it delivers 50 Nm less torque. It is paired with a seven-speed dual-clutch automatic transmission, replacing the previous eight-speed torque-converter automatic. This engine variant is the more potent option available for the M135 globally, as Europe offers a 221 HP and 400 Nm version due to stricter emissions regulations. With standard all-wheel drive, the Australian M135 xDrive can accelerate from 0 to 100 km/h in 4.9 seconds, which is 0.1 seconds slower than the outgoing M135i.

2025 BMW

For a comprehensive overview of the new features across the 2025 1 Series range, including the updated 10.7-inch infotainment and 10.25-inch instrument displays, click here to read our full reveal story.

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