New Twingo battles Fiat 500

• Entry-level Twingo is £400 less than Fiat 500
• Powered by 59bhp 1.2-litre engine
• On sale from February for £7500

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Renault is introducing a new entry-level Twingo to its range from February – and it will cost £400 less than the Fiat 500 with which it will fight for sales.

The Extreme is powered by a 59bhp 1.2-litre petrol engine that returns an average fuel economy of 50.4mpg and emits 132g/km of carbon dioxide.

Equipment includes anti-lock brakes, driver and passenger airbags, remote central locking, radio/CD, front fog lights and electric front windows.

The Extreme costs £7500, while the entry-level Fiat 500, which is powered by a 69bhp 1.2-litre petrol engine, is priced at £7900.