MG has launched a V8-powered version of its ZT saloon and ZT-T estate. Powered by Ford's 260bhp, 4.6-litre V8 engine, used in North America in the Mustang, the rear- wheel drive MG ZT 260 V8 hopes to compete with the likes of the BMW 330i, Jaguar X-Type and Volvo S60 T5.

The car will be sold through all MG retailers and annual sales expected to hit the 1000 unit mark. Developed from the front-wheel drive ZT, the ZT 260 has a new drive platform and modified powertrain, while the exterior remains unchanged with just the four exhaust tailpipes and V8 badge distinguishing it from the standard ZT.

The 260bhp engine powers the flagship MG from 0 to 62mph in 6.2 secs (saloon) and 6.3 secs (estate). Rob Oldaker, MG Rover group's product development director, comments: “The MG ZT 260 V8 demonstrates our commitment to deliver cars of true pedigree and character. Our choice of a big, torquey engine has been vindicated as this is a deceptively quick and efficient cross-country car.”

Its introduction means MG now has the broadest range in its 80-year history. “The new V8 heralds the return of the practical British muscle car,” Oldaker adds. The ZT is available for customer order in the UK now, with prices starting at £27,995.