Premium small cars prove you don't need to go big to get luxury. These compact sedans and hatchbacks deliver high-end tech in high-quality interiors, top-shelf refinement and engaging driving dynamics in packages perfect for Australian roads. From advanced safety systems to premium sound systems, they pack sophisticated features into smaller, more manageable dimensions.
The best luxury small cars balance urban practicality with genuine premium appeal. They need to feel special from the moment you get behind the wheel, with quality materials, responsive performance, and the kind of attention to detail that justifies their higher price tags.
Here are Australia's top luxury small cars that prove good things really do come in small packages.
Best Choice
BMW 1 Series
The 1 Series delivers genuine BMW driving dynamics in a compact package, with premium tech and build quality, and engaging handling that sets it apart from rivals.
Finalist
Audi A3
The A3 combines Audi's signature tech-forward approach with refined build quality and smooth performance, delivering understated luxury in a practical small car package.
Finalist
Mini Cooper 3 Door
Iconic style meets modern luxury in the Cooper, which offers distinctive design, premium cabin materials and that unique Mini driving character that makes every journey feel special.
Compare 2025’s Best Luxury Small Car
Explore our top picks for Best Luxury Small Car this year, with side-by-side comparisons to make your choice easy.
