The BMW 1 Series is a familiar nameplate that recently received a fresh look inside and out, and this makeover has moved the premium compact hatch further ahead of some tough competition.
We picked it as our choice for best small luxury car in the inaugural 2025 CarExpert Choice Awards over two finalists: the related Mini Cooper and the rival Audi A3.
A direct rival for not only the A3 but also the Mercedes-Benz A-Class, the latest BMW 1 Series is available in a choice of three variants.
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The turbocharged three-cylinder petrol-powered, front-wheel drive 118 opens the lineup, with the 120 turbo four sitting in the middle and the more powerful, all-wheel drive M135 xDrive topping the range.
Prices start at $57,600 before on-road costs, making this the most affordable way to get into a new BMW.
Those seeking a sedan body style can also opt for the closely related 2 Series Gran Coupe.
While it mightn’t be a clean-sheet redesign, the ‘F70’ 1 Series – as it’s known internally – has received not only substantially freshened exterior styling but also a completely overhauled interior comprising a 10.25-inch digital instrument cluster and a 10.7-inch touchscreen infotainment system.

All up, these changes see it fit in much better with the rest of BMW’s lineup, including the X1, iX1, 3 Series and i4 which also took home CarExpert Choice awards.
“Bimmer’s smallest car recently received a comprehensive facelift, making its premium hatchback a much more compelling option,” said marketplace editor James Wong.
“Sharp dynamics, a nicely built interior, excellent in-car tech and a good range of turbocharged engines are all highlights of the 1 Series range in Australia.”
“The BMW 1 Series does a lot right as a premium small car, albeit a pricey one,” said deputy marketplace editor Josh Nevett.

“It feels upmarket from behind the wheel, with a luxurious interior and class-leading tech.
“The driving experience is top-notch too, although I’d save some coin and opt for the 118 base model, which still feels spritely and doesn’t miss out on much from a standard specifications standpoint.”
“The new 1 Series is a comprehensive package finished with practical BMW tech, breathing life into an otherwise dwindling European small car segment,” said marketplace journalist Max Davies.
“Its range of drivetrains presents an enticing level of choice for daily commuters and driving enthusiasts alike, and there’s plenty of fun to be had once you hit the back roads.”