Audi has slashed the entry price for its A3 Sportback and Saloon with the arrival of a new engine and gearbox combo.

The new 116hp 1.0-litre petrol engine is priced from £28,920 for the Sportback and £29,845 for the Saloon

On sale now, the new 116hp 1.0-litre petrol engine powers the 30 TFSI model and becomes the entry-level model, priced from £28,920 for the Sportback and £29,845 for the Saloon. It’s available with the choice of a six-speed manual or seven-speed S Tronic automatic gearbox. It can be specified in conjunction with Sport or S line trims, both of which have been enhanced as part of the A3’s upgrade.

Meanwhile, the high-performance S3 Sportback and Saloon are also now on sale, priced from £46,925 and £47,940 respectively.

The expansion of the powertrain line-up further beefs up the A3’s competitive proposition, following the arrival of the updated fourth-generation models in April, complete with design updates and advances in lighting, infotainment and driver assistance technology already seen in the brand’s larger models.

The new powertrains join the existing 1.5-litre petrol and 2.0-litre diesel units found in the 35 TFSI and 35 TDI, each pushing out 150hp. Alongside the seven-speed S Tronic automatic gearbox, the 35 TFSI can now also be ordered with the option of a six-speed manual transmission.

There’s more still to come too – a 45 TFSI e plug-in hybrid said to be “highly efficient” will join the model line-up later this year.

Equipment grades span three levels and bring a string of new equipment.

Sport models come with new 17-inch alloys and also debut three-zone climate control, front seat heating, Virtual Cockpit Plus and Phonebox Light with wireless handset charging, Audi sound system, front and rear parking sensors with parking aid plus, adjustable speed limiter and driver attention and drowsy assist monitor. They also come with MMI Navigation Plus with 10.1-inch touchscreen and 3D map display.

S Line models build on this with new 18-inch alloys, multi-coloured interior ambient lighting, and a new leather-rimmed multi-function Sport steering wheel. They also come with sport suspension, LED headlights with LED rear lights and dynamic rear indicators and S Line styling.

S Black Edition grades also come with 19-inch matt grey gloss turned finish alloys, an exterior black styling pack and ‘Audi Beam’ puddle lights.

S3 models are based on the S Line and come with 19-inch diamond-cut alloy wheels in Anthracite Black, Quattro permanent all-wheel drive, progressive steering, S Sport suspension and Audi Drive Select with S3 torque splitter. They also feature the Black styling pack including Audi rings, grille, window surrounds, air inlets and door mirrors and dual-branch oval twin tailpipes in a ‘Black Chrome’ finish.

The S Vorsprung is based on the S Black Edition and comes with 19-inch multi-spoke S-design alloy wheels in anthracite black gloss turned finish, S Sport suspension with damper control, S Technology Pack Pro, Matrix LED headlights with LED rear lights, dynamic front and rear indicators, and headlight cleaning system, the Advance key and Audi Beam with Vorsprung logo. It also features a panoramic roof and power-operated tailgate.