Top 10: Best Small Luxury Cars to Buy in 2025
22nd Oct 2025
Small Luxury Cars
Small luxury cars continue to be ultra-popular, and it is not hard to see why.
Although small premium cars have technically been around for decades, it seems we are now properly spoilt for choice, with the likes of BMW, Mercedes-Benz, Audi, MINI and Land Rover now tempting customers away from other mainstream car brands, which do not hold such a premium reputation.
In a world where everything seems to be getting more expensive, an entry-level compact premium car seems like a superb option for those looking for luxury at a more attractive price point.
Discover our pick of the best new and used small premium cars available below.
- BMW 1 Series
- Mercedes-Benz A-Class
- Audi A3
- Range Rover Evoque
- BMW X1
- MINI Hatchback
- Audi Q2
- Land Rover Defender 90
- Audi A1
- BMW i3
BMW 1 Series
Launched originally in 2004, the 1 Series gave buyers an attractive entry-point into BMW ownership, being great for admirers of the brand and of course boosting sales for BMW by appealing to new customers. Today, the 1 Series is properly sophisticated with sharp looks, five doors as standard, a large boot, and an ultra-modern interior.
The 1 Series incorporates a cool fully-digital interior with voice commands, which help make the driving experience easier. There are a range of models available when buying new and used, allowing you to tailor a 1 Series to your exact requirements.
The range-topping M Performance M135, along with previous generation used M135i and M140i versions of the 1 Series offer enhanced style and performance that is not too far behind some BMW M models - meaning they are rather popular with those wanting a performance bargain.
Search New BMW 1 Series Search Used BMW 1 SeriesMercedes-Benz A-Class
It was the S-Class which showcased Mercedes-Benz technology first; a car renowned for state-of-the-art features and automotive excellence. This would then get shared with other models in the range, or diluted slightly depending on where the model sat.
However, it was the A-Class which first showcased the brand's move towards a striking fully-digital instrument cluster, infotainment set-up, and a brand-new cutting-edge interior style. The new vibe certainly has many admirers too, with an ambiance you would only really expect to find in cars at a much more expensive price point.
Highlights include state-of-the-art plug-in hybrid models, along with high-performance AMG models. Due to its entry-level point in the Mercedes-Benz range, the A-Class is rather affordable and therefore offers a properly attractive proposition, whether you opt for a new or used model.
Audi A3
Where there is a BMW and Mercedes-Benz, there is usually an Audi alternative. In this case it is the Audi A3, which is another fine premium German hatchback.
Like its competition, the Audi A3 offers a fine mix of refinement, sophistication, performance, technology and choice, in an attractive and compact package that has made it one of the most popular small hatchbacks for generations.
Like its competition there is plenty of choice, and the enhanced performance versions of the A3, which include the S3 and RS 3 are hugely popular with those looking for a car that does it all, offering the typical Audi refinement, practicality, technology and of course, performance. It was the RS 3 that pretty much defined the term 'hyper hatch' thanks to 395bhp and 0 to 62mph in just 3.8 seconds.
Range Rover Evoque
A more affordable Range Rover was always going to be a hit. Like all of the cars in this list, which tend to be the entry-point models in their respective ranges, a more affordable and more compact model is a safe bet for these premium manufacturers, as it lets them target new customers and enhances profits.
And when you can have a more a more compact and more affordable version of quite possibly one of the best SUV brands available, well, it is no wonder it makes our list. Unlike many of today's popular SUVs, the Range Rover Evoque can actually venture off-road with ease, thanks to its all-wheel drive and numerous settings to make light work if the road your travelling runs out. It is also excellent on road, naturally, too.
Okay, so many Evoque owners will not venture off-road, but with all the usual Range Rover traits like refinement, technology, performance and image, the Range Rover Evoque will continue to set the standard for compact luxury cars in the SUV sector. It is arguably the benchmark for others to follow.
BMW X1
The X1 is BMW's entry-level SUV, and it is a rather good one at that. You can also have it in a fully-electric version if you would prefer, which is called the iX1, which is offered with 201bhp or 308bhp. Both feel uncanny quick due to their instant electric torque.
The petrol versions are typically BMW too, and offer a fine driving experience. Like many entry-level SUVs the X1 offers all the usual choice, along with cutting-edge technology, supreme refinement and being a BMW means that there is also a high performance variant too, naturally, in the form of the M35i which offers 295bhp and can accelerate from 0 to 62mph in just 5.4 seconds.
If you are after an entry-level compact SUV that has lots of choice and a driving experience that is sure to impress, a BMW X1 or its iX1 sibling is a textbook choice.
Search New BMW X1 Search Used BMW X1MINI Hatchback
You simply cannot ignore the MINI hatchback when talking about small luxury and premium cars. After all, the original 'Mini' from 1959 was enjoyed by the rock and roll elite and even royalty, despite being an affordable car made for the masses.
It is fair to say, however, that the current MINI created by BMW is far more luxurious than the original and due to its status, it makes our small luxury and premium car list with ease. Like its parent brand BMW, you can find the iconic MINI Cooper with a typical petrol engine, or as a fully-electric version, too, along with a high performance John Cooper Works version, also.
No matter which you choose, the MINI provides a funky and stylish package that can easily compete with competitors like the Audi A1, which offers no electric or high performance version, sadly. With a scope for customisation, nimble handling, and multiple models available, the MINI ticks all the right boxes.
The MINI hatchback is perhaps the most quirky example on our list too, with most models being personalised, making them quite unique in their specifications. Interiors also follow a retro feel, complemented by a large circular infotainment screen and digital instrument cluster in the latest models.
Search New MINI Hatch Search Used MINI HatchAudi Q2
As the smallest SUV in the Audi range, the Q2 has proven a popular entry point. It comes as no surprise really, as it is a proven success formula for premium brands offering more affordable and compact models.
Sure, the Q2 is not going to conquer off-road terrain, especially with most models being front-wheel drive, but then most people who buy an SUV are not wanting to take their cars off-road. It is more about style, lifestyle and of course being behind the most popular body style on the road, an SUV.
You can however find the range-topping SQ2 version, which features Quattro all-wheel drive and can accelerate from 0 to 62mph in 4.9 seconds, making this compact SUV rather exciting when you put your foot down.
Search New Audi Q2 Search Used Audi Q2Land Rover Defender 90
Launched in 1983 and running until 2016, the Land Rover Defender had a lot to live up to, being the evolution of the iconic Land Rover Series 1. In 2020, Land Rover reimagined the Defender with a perfect evolution of the original.
Along with the 90, you can also get a larger 110 and extra large 130 version. However, the compact 90 is great for those who want the legendary Land Rover off-road capabilities, along with being excellent on road too, who perhaps do not need five doors and huge amounts of space. The 90 is more about lifestyle, looking good and still offering SUV practicality, just not as much as its siblings.
Plus, the Defender is a superb looking SUV, and really encapsulates the original with multiple versions being available, and a whole host of customisable options.
Search New Land Rover Defender 90 Search Used Land Rover Defender 90Audi A1
Although the Audi A3 competes directly with the Mercedes-Benz A-Class and BMW 1 Series mentioned previously, Audi offers an even smaller premium and luxury package, in the form of the Audi A1.
With striking exterior looks and a smart digital interior, the A1 is a superb-looking small hatchback. It has become a lot more sophisticated than its predecessor, and it also features five doors as standard, making it more practical too.
If you are in the market for a new or used luxury supermini rather than a luxury hatchback, the A1 is well worth a look.
Search Used Audi A1BMW i3
BMW already got well ahead of the game with the i3, launching back in 2013. With a few facelifts and updates along the way, the i3 still looks fresh, and being 100 percent fully-electric, running costs are low. We would go as far as saying that the i3 is without doubt one of the best small premium electric luxury car out there, and it has been for some time.
This is thanks to a strong standard specification and eye-catching upgrades like the stunning 19-inch alloy wheels. The interior also features beautiful digital design, with recycled materials used where possible, to excellent effect.
With the i3 offering around 190 miles of range, and performance similar to some of the best small hot hatches on sale, the i3 set the foundation for just how good BMW electric cars are, and will be joined by many new BMW electric models soon.
Search New BMW i3 Search Used BMW i3Discover your perfect small luxury car with Stratstone
We hope our list of small luxury and premium cars has given you a clear insight of just how good the cars available are.
See something you like? Contact your nearest Stratstone retailer to arrange a test drive, or why not browse our complete selection of used cars, or new car offers.
